To facilitate and encourage this, skill building has been impressed upon by the Prime Minister’s Task Force for MSMEs. Enterprise Development Centres (EDC) should be set up by the Central/State Governments with incubators to provide training not just for setting up of new units but also to provide continuing education on different aspects like product design, packaging, technology upgradation, financial management and marketing.
Investors and lenders rightly responded to these events by becoming more wary, and financial conditions accordingly became more restrictive. Businesses faced a similar set of shocks: bankrupt clients, elevated uncertainty, skeptical investors, and expected rates of return that had plummeted. With limited pricing power and opportunities for sales expansion, businesses had to focus on expense management to increase their earnings.