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Micro, Small and Medium Enterprises (MSMEs) play very significant role in almost all countries of the world irrespective of their development stage. Developed countries like Japan, China, Malaysia, Taiwan, the United States of America and the United Kingdom have developed through the MSMEs many aspects of business such as employment generation, export, tax, income, innovation, competitiveness. The recent wave of Globalization has influenced overall business of the world. The MSMEs have prospered better under this wave of Globalization. Particularly in India, they have made a significant impact on income distribution, social stability, domestic resources utilization technique, structural and regional development, exports, employment and creation of a broad entrepreneurial base. Hence, the MSMEs' are rightly regarded as the backbone of modern Indian economy. With the advent of planned economy in 1951, and the subsequent industrial policy of the Government of India, both planners and the Government have earmarked for small and medium industries a special role in the economy.
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