Village businesses industries, small-scale industries, handicrafts and large scale businesses are the conditions which are utilized based on their size and manufacturing.

When a worker produces something with the aid of his members of a family, with his instruments then he is believed to be running a cottage business.

In cottage business or in handicrafts basic tools are not required for electrical power, machines and labor are cottage industries characteristics.

We see workers weaving and pinning fabric, some other handicrafts of the nation. Cottage industries importance is perfect for the area in addition to rural. With their job of agriculture, farmers can continue their industries side by side in villages.

A cottage industry is a small-scale industry often operated out of a home, rather than out of a factory.

Cottage industries are defined by the amount of investment required to start, as well as a number of people employed. They often focus on the production of labor-intensive goods.

In urban areas, some businesses that are cottages can be started by the poor with their limited resources.

In cottage industries  or in handicraft business workers family being the employee and the employer themselves and the employee get the earning.

When in cases labors are used, the connections between the employer and them stay healthy.

The trend towards centralization is inherent in large-scale businesses. Further, the worker’s independence is preserved.

The work stopped and can be started according to his or her convenience. So in cottage industries, the employees enjoy a marked sense of freedom.

As the products of the cottage businesses are the outcome of the labor of that the workers, their cost remains high in comparison with which of the mill made goods.

They find almost impossible to obtain raw material and the essential tools for their work. So these difficulties come in the manner of the growth of handicrafts.

Suggestion for the development of cottage industry :

  1. The filed of manufacturing for cottage and large scale businesses should be specified.
  2. The competition between both of these spheres of manufacturing should be replaced by cooperation. This may enable the workers to buy raw materials and tools.
  3. Facilities for marketing finished goods ought to be provided.
  4. The Government must undertake research work for making easy and inexpensive machines.

This may be very useful for the progress of handloom, handicraft and cottage industries. The government has always recognized the significance of cottage industries.

It established that the Cottage Industries Board, All India Khadi Development Board, along with other such agencies for the manufacturing of handicrafts.

A large number of funds has always been allocated for their development in the numerous five years plans of the country.

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