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This is to inform that Graded Discussion Board (GDB) No. 1 will be opened according to the following schedule:



Opening Date and Time

October 23 , 2012 At 12:00 A.M. (Mid-Night)

Closing Date and Time

October 24, 2012 At 11:59 P.M. (Mid-Night)






Topic/Area for Discussion:

“SMEs and multifaceted challenges/problems.”

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Replies to This Discussion

pEhly GDB OpEn to Ho lE tB hE pta Chly ga na k QStn kya Pxha Gaya Hai...

MGT601 SME Management GDB Idea solution 

MGT601 GDB solution

guys it is very easy

Required to first list at lest ten (10) challenges/difficulties currently faced by SMEs in Pakistan 

1. Lack of financing
2. shortage of skilled/experience employee or labour
3. location/ area of business/place 
4. Poor quality of Raw material
5. not proper licensing or registration by Gov
6. Lack of new technology or equipment
7. taxation rate
8. trading restriction
9. Gov non supportive policies
10. Political involement
11. uneducated management stucture
12. non supportive supplier
13. Transportation barrier
14. shortage of raw material
15. loadsheing of electricity or gas
16. Availabilty of same product in poor quality
17. poor infrastructure
18. insufficient resources
19. Lack of innovation
20. unsatisfactory marketing system
21. corrupt loaning system of Gov
22. unavailability of technical training institution for SME
23. non professional behavior of supplier/marchandiser
24. complexity of laws

you are required to discuss the possible precautionary measures ( at least five) that must be taken by the businessmen themselves to combat those challenges instead of waiting for government support

1. maintain quality standard
2. conduct training of labour
3. innovation according to the changing in market enviornement
4. suitable location
5. proper management system
6. after sale services
7. availability of product everytime
8. customer feedback system
9. punctual and regular product handling
10. linkage with other patner
11. proper tools 
12. dont rely on traditional system
13. approach to new market
14. better communication supplier and employees
15. market research and development
16. clearn smooth operation

u can write many more, anyway choose which suit better and write according to the question.....

Note: Please this is vuhelp.pk team effort don't share this GDB on other fourms and website

Challenges / Difficulties currently faced by SMEs in Pakistan: ( Only  VUhelp.pk material )

1-Deteriorating political, law and order situation in the Country is one of the major reason of Industrial down turn. Industrial activity cannot flourish in an atmosphere of disturbances and fear. Sincere corrective measures
2- it is necessary to recognise that Pakistan is at present seriously lagging in the overall quality of its support systems for SMEs.
3- Marketing success constitutes one of the key challenges for many SMEs in Pakistan. A valuable experience for SMEs in many industries is participation in trade fairs--at home and/or abroad, the latter of which can be a good means of penetrating export markets.
4- Technology upgrading is key to the continuing success of SMEs, especially those which produce tradables. In general, private rather than collective mechanisms are the main external (to the firm) sources of technological capability.
5-   Donor assistances for SME development of SMEs through programs and projects.
6-  Lack of Facilitation in the development of SME representative bodies associations/chambers.
7- Severe electricity load shedding and disconnection of Sui Gas supply for industries in winter season is the biggest problem faced by SME sector in the country.
8- Increasing trend in the cost of inputs has become common practice in our Country due to which SME Industries cannot compete in the markets. Due to increase in prices of inputs used in manufacturing process like Electricity, Sui Gas etc, our SME sector is not able to compete/sell their products at higher prices due to multiplied cost of production. On the other hand imported/smuggled goods are commonly available in the markets at much cheaper prices.
9- SBP and institutions who are stake holders should come forward at gross root level and have direct interaction with ailing SME entrepreneurs to have deep and true insight of the problems faced by the people who are operating all over the country who are indigenous entrepreneurs and real builders of our economy, who are termed as SMEs now a days.
10- Textile weaving sector has been hit due to other several reasons. In the past many of SME Weaving Units worked on orders with cost much higher than price in order to survive in the market. Presently they are unable to carry on weaving process as price offered is much higher than cost of production. The main reason behind it is extremely higher rates of electricity in the country. Labour crises are also becoming prominent due to all above reasons. For example a Factory previously working 24 hours is operating only for 12 hours resulting in lower production. On the other hand permanent & temporary labour costs remains the same. Daily wagers are paid inspire of the shutdown due to power in order to retain them on the payroll.



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