Market Assessment

BDS markets in Hyderabad, Andhra Pradesh, India, 2000

    This study of the markets for business development services (BDS) for small-scale enterprise (SSE) was undertaken at the behest of DFID. The study involved structured interaction with 90 SSE and a dozen BDS providers, in the city of Hyderabad. The SSE respondents were from four sectors.

    On the demand side it was found that SSE seek two basic types of services. The "transactions related services" refer to such things as assistance in keeping accounts, labour records, filing of returns, complying with regulations which are time bound and rigid. The outcomes in this category are more tangible. The "strategic services" refer to non-immediate issues that would have lasting and impact on the future of the business of the SSE.

    It was found that the transaction related services are used more often. But the specialists offering such services may not restrict themselves to those transactions. Chartered Accountants typically straddle both types of services. They manage accounts, file returns, fix income tax problems, negotiate loans, help in capital structuring and even source other BDS providers. The position is unique and has arisen because the SSE trust them and usually have a long-standing relationship.

    Associated Activities and Documents
    Synthesis Documents
    »Hanoi DC Conference, 2000