- Demo, Problem, Solution, Approach
- Presentation
- Live on : https://scaleupindia.herokuapp.com/
- Deployed on Matic Mumbai Testnet
The first step in making India "ATMANIRBHAR" is empowering Medium and small size businesses (MSME). (Source)
If we empower MSME, we will not only make India Self Reliant but will also have diversefied employement in rural areas, which will help in distributing wealth equally. As of now Manufacturing segment within the MSME contributes to as low as 7.09% of GDP. The reason behind these lies in the Economies of Scale. Economies of scale means producing products and acquiring raw materials at a huge scale thereby saving the cost of production and increasing profit. That’s the reason, we see Chinese products or Products produced by larrge factories cheaper. Increasing tariffs or abandoning them is not a long term solution We have to fight with them, one and one by having competative prizes. But How ? Can we use Economics of scale in MSME as well? Yep, Surely we can, let's see it in the solution section.
Let's see! There are two parties in any manufacturing, One who produces raw material and One who procures that raw material and produces good. Now Consider there are 10 small clothing businesses, and they need cotton threads to weave.
If they go to thread producer one by one, they will ahev to pay more cost per unit.
Becasue thread producer didnt know that he is going to get 10 orders, so he kept stock in limit, and sold with demand, so not only it costed more per unit for thread producer, but to clothing businesses too.
Now consider, If all 10 businesses give order in bulk in thread producer, he can use Economics of scale principal to produce same quality threads in lesser cost per unit. These 10 businesses also get raw material at a lower cost, hence can compete agrsiivilry in market and can have more profit.
It's win-win at both sides. Now consider all this happening on trustless environment powered by blockchain, with intivitue UI on a decentrilized portal. That's what ScaleUp is !