“Revival Financial Strategies for Indian Musical Instrument Manufacturers for the Sustainable Development”

Abstract

Indian musical instrument manufacturing industry is known for its rich heritage. The manufacturers are the sole owners of their business and the manufacturing process is totally carried out on the traditional basis within a very small area. Manufacturers rely upon self-investment and manage the needs of the capital from own funds only they do not avail any borrowed funds hence one major aspect of capital is underutilized leading to under capitalization of this business hence it could be concluded that financial inclusion has not reached till them. All the manufacturers are relying upon their own sources of funds despite of economic benefits provided in terms of subsidy. As these entrepreneurs are not accessing financial services their credit fulfillment is only 30% of their total requirement. These manufacturers are unaware of creating credit worthiness and they rely upon retailers to carry forward their financial requirements. This industry requires support from local, central as well as state government in the form of subsidies and awareness for having proper financial access to develop amicable relations with bank. This study examines financial management practices in the manufacturing of Indian musical instruments and suggests the revival financial strategies to be implemented by the Indian Musical Instrument Manufacturers for gaining the potential towards sustainable development.