IDEAS home Printed from https://ideas.repec.org/a/sae/emecst/v2y2016i2p145-155.html
   My bibliography  Save this article

Policy Reforms and SME Performances: A Comparison of Two Major EMEs

Author

Listed:
  • Sayani Roy Chowdhury
  • Sahana Roy Chowdhury

Abstract

This paper makes a comparative analysis of the major reforms and measures taken by China via-a-vis India to shape their SME sector performances. Since SME sectors are mostly labour intensive labour reforms are absolutely essential. This would in turn, facilitate FDI (foreign direct investment) inflows and ease the credit and finance problems faced by the SMEs. India with its lop-sided distribution of firm-size faces the challenge of “missing middle†. SMEs are finding it suboptimal to grow because of the archaic labour laws in India, that constrain hiring and firing policies related to firm’s downsizing decisions. One observation regarding Chinese reform is that their reform agenda was much ahead of time, holistic and gradual, unlike India’s reform measures, which are piecemeal and non-uniform across time, and hence was partially effective in facilitating stable growth in the SME sector across time. However, recent initiatives are quite ambitious, if the steps get translated into reality the SME sector’s growth might reach its potential.

Suggested Citation

  • Sayani Roy Chowdhury & Sahana Roy Chowdhury, 2016. "Policy Reforms and SME Performances: A Comparison of Two Major EMEs," Emerging Economy Studies, International Management Institute, vol. 2(2), pages 145-155, November.
    • Handle: RePEc:sae:emecst:v:2:y:2016:i:2:p:145-155
    DOI: 10.1177/2394901516661807
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/2394901516661807
    Download Restriction: no
    File URL: https://libkey.io/10.1177/2394901516661807?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Meng,Xin, 2009. "Labour Market Reform in China," Cambridge Books, Cambridge University Press, number 9780521121118, January.
    2. Hasan, Rana & L. Jandoc, Karl Robert, 2010. "The Distribution of Firm Size in India: What Can Survey Data Tell Us?," ADB Economics Working Paper Series 213, Asian Development Bank.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fields, Gary S. & Meng, Xin & Song, Yang, 2022. "Earnings mobility during labor market reforms in urban China," China Economic Review, Elsevier, vol. 75(C).
    2. Wang, Xiaobing & Herzfeld, Thomas & Glauben, Thomas, 2007. "Labor allocation in transition: Evidence from Chinese rural households," China Economic Review, Elsevier, vol. 18(3), pages 287-308.
    3. Meng, Xin & Xue, Sen, 2017. "Social Networks and Mental Health Problems: Evidence from Rural-to-Urban Migrants in China," IZA Discussion Papers 10481, Institute of Labor Economics (IZA).
    4. Joachim Ahrens & Patrick Jünemann, 2011. "Adaptive Efficiency and Pragmatic Flexibility: Characteristics of Institutional Change in Capitalism, Chinese-style," Chapters, in: Werner Pascha & Cornelia Storz & Markus Taube (ed.), Institutional Variety in East Asia, chapter 2, Edward Elgar Publishing.
    5. Das, Abhiman & Ghani, Ejaz & Grover, Arti & Kerr, William & Nanda, Ramana, 2024. "JUE insight: Infrastructure and Finance: Evidence from India’s GQ highway network," Journal of Urban Economics, Elsevier, vol. 142(C).
    6. Fleisher, Belton M. & Sabirianova, Klara & Wang, Xiaojun, 2005. "Returns to skills and the speed of reforms: Evidence from Central and Eastern Europe, China, and Russia," Journal of Comparative Economics, Elsevier, vol. 33(2), pages 351-370, June.
    7. Belton M. Fleisher & Haizheng Li & Shi Li & Xiaojun Wang, 2000. "Sorting, Selection, and Transformation of the Return to College Education In China," William Davidson Institute Working Papers Series wp756, William Davidson Institute at the University of Michigan.
    8. Chen, Yiu Por (Vincent) & Zhang, Yuan, 2018. "A decomposition method on employment and wage discrimination and its application in urban China (2002–2013)," World Development, Elsevier, vol. 110(C), pages 1-12.
    9. Ejaz Ghani & Arti Grover Goswami & William R. Kerr, 2016. "Highway to Success: The Impact of the Golden Quadrilateral Project for the Location and Performance of Indian Manufacturing," Economic Journal, Royal Economic Society, vol. 126(591), pages 317-357, March.
    10. Xinxin Ma & Ichiro Iwasaki, 2021. "Does communist party membership bring a wage premium in China? a meta-analysis," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 19(1), pages 55-94, January.
    11. Xin Meng & Sen Xue, 2020. "Social networks and mental health outcomes: Chinese rural–urban migrant experience," Journal of Population Economics, Springer;European Society for Population Economics, vol. 33(1), pages 155-195, January.
    12. Fleisher, Belton M. & Wang, Xiaojun, 2005. "Returns to schooling in China under planning and reform," Journal of Comparative Economics, Elsevier, vol. 33(2), pages 265-277, June.
    13. Zhang, Dandan, 2020. "The evolution of the wage gap between rural migrants and the urban labour force in Chinese cities," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(1), January.
    14. Yi CHEN & Sylvie DEMURGER & Martin FOURNIER, 2004. "Différentiels salariaux, segmentation et discrimination à l’égard des femmes sur le marché du travail chinois," Working Papers 200426, CERDI.
    15. Zhang, Junsen & Zhao, Yaohui & Park, Albert & Song, Xiaoqing, 2005. "Economic returns to schooling in urban China, 1988 to 2001," Journal of Comparative Economics, Elsevier, vol. 33(4), pages 730-752, December.
    16. John A. Bishop & Feijun Luo & Fang Wang, 2005. "Economic transition, gender bias, and the distribution of earnings in China," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 13(2), pages 239-259, April.
    17. Chae, Minhee & Hatton, Timothy J. & Meng, Xin, 2023. "Explaining trends in adult height in China: 1950 to 1990," World Development, Elsevier, vol. 161(C).
    18. Jikun Huang & Scott Rozelle & Xinkai Zhu & Shiji Zhao & Yu Sheng, 2020. "Agricultural and rural development in China during the past four decades: an introduction," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(1), pages 1-13, January.
    19. Kaushik Basu & Gary S. Fields & Shub Debgupta, 2009. "Labor Retrenchment Laws And Their Effect On Wages And Employment: A Theoretical Investigation," World Scientific Book Chapters, in: Bhaskar Dutta & Tridip Ray & E Somanathan (ed.), New And Enduring Themes In Development Economics, chapter 9, pages 181-205, World Scientific Publishing Co. Pte. Ltd..
    20. Liu, Xueyue & Zuo, Sharon Xuejing, 2023. "From equality to polarization: Changes in urban China’s gender earnings gap from 1988 to 2016," Journal of Economic Behavior & Organization, Elsevier, vol. 205(C), pages 303-337.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:emecst:v:2:y:2016:i:2:p:145-155. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: https://www.imi.edu/delhi/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.