Market for Business Development Services in India: A Study of Calcutta

Abstract

This article analyses the demand and supply of business development services (BDS) in the twin cities of Calcutta and Howrah in India. It argues that with the advent of liberalisation, small entrepreneurs will need timely and relevant counselling and consultancy support, as most of them lack adequate managerial and technical competencies to face the emerging competition. Based on a field survey, the study observes that there is a glaring mismatch between demand for and supply of BDS due to market imperfections and price distortions. Once this mismatch is removed, the small enterprises will be in a better position to derive the benefit of professional advice to improve their performance, even in the face of increased competition