Social Science : Economics : Chapter 5 : Industrial Clusters in Tamil Nadu
I. Choose the Correct Answer:
1. ‘The Detroit of Asia’ is ________.
Ans : Chennai
2. Pumpsets and motors are produced mostly in
Ans : Combatore
3. ________ are an essential aspect of a nation’s development.
- none of these
Ans : Industry
4. Tiruppur is known for
- Leather tanning
- Lock making
Ans : Knitwear
5. A successful industrial cluster entirely created by the Tamil Nadu is
Ans : Hosur
II. Fill in the blanks:
1. Hundred of leather and tannery facilities are located around ________ District in Tamil Nadu.
Ans : Vellore
2. Special Economic Zones policy was introduced on in ________.
Ans : Apr. 2000
3. ________ is an innovator of new ideas and business processes.
Ans : Entrepreneur
III. Pick out odd one:
1. Which one of the following is not having leather factories?
Ans : Dharmapuri
2. Which one of the following is not a industrial developing agency?
Ans : MEPG
IV. Match the following:
|1. Entrepreneur||Export Processing Zone|
|3. Indian Ordance Factory||Organizer|
|5. Machester of south India||Karur|
Ans : 1 – C, 2 – A, 3 – D, 4 – E, 5 – B
V. Write short Answers:
1. Why are wages low in the agricultural sector?
- Majority of the people involved in agriculture.
- Farmers are having a small land area.
- Most of the farmers are illiterate. So, they are easily exploited by the land lords.
- The government is supporting the industrial sector not supporting the agricultural sector.
- The people practising agriculture are not able to get easily loan from the banks and subsidy from the government.
2. What is meant by an industrial cluster?
- Industrial clusters are groups of firms in a defined geographic area that share common markets, technologies and skill requirements.
- An important aspect of clusters is the nature of inter-firm networks and interactions.
3. What are the routes for cluster formation?
Clusters may arise due to many factors. For example
- Certain clusters evolve over a long time in history when artisans settle in one locality and evolve over centuries. Handloom weaving clusters are one examples of this development.
- In some sectors, when a large firm is established, a cluster of firms may emerge to
take care of its input and service requirements.
- At times, governments may decide to encourage manufacturing using raw materials from a region, which may also lead to emergence of clusters
4. Mention any three industrial development agencies in Tamil Nadu and their role
- SIPCOT (State Industries Promotion Corporation of Tamil Nadu) was formed in 1971. It was formed to promote industrial growth in the state by setting up industrial estates.
- TANSIDCO (Tamil Nadu Small Industries Development Corporation)was formed in 1970. It was formed to promote small-scale industries in the state. It gives subsidies and provides technical assistance for new firms in the small scale sector.
- TIDCO (Tamil Nadu Industrial Development Corporation) was formed 1965. Its aim is to promote industries in the state and to establish industrial estates.
5. What are the problems of industrialization currently in Tamil Nadu?
The major problems are
- Need of capital,
- Need of raw materials
- Lack of technology
- Low productivity
- Low potential utilisation
- Inferior quality of products and
- Insufficient of public sector units
6. What is Meant by Entrepreneur?
- Entrepreneur is an innovator of new ideas and business processes.
- He possesses management skills, strong team building abilities and essential leadership qualities to manage a business.
7. What is Entrepreneurship?
- Entrepreneurship is a process of a action of an entrepreneur who undertakes to establish his enterprise.
- It is the ability to create and build something.
VI. Write Brief Answer
1. What are the important characteristics of successful industrial clusters?
The following are the chief characteristics of a successful cluster.
- Geographical proximity of small and medium enterprises (SMES)
- Sectoral – Specialisation.
- Close inter-firm collaboration.
- Inter-firm competition based on innovation
- A socio-cultural identity, which facilitates trust.
- Multi-skilled workforce.
- Active self-help organisations,
- Supportive regional and municipal governments.
2. Write about the Textile industry cluster in Tamil Nadu.
- Tamil Nadu is home to the largest textiles sector in the country.
- Because of the development of cotton textile industry since the colonial period, Coimbatore is often referred as the “Manchester of South India”
- At present, most of the spinning mils have moved to the smaller towns and villages at a radius over 100 to 150km around the Coimbatore city.
- Tamil Nadu is the biggest producer of cotton yarn in the country.
- Palladam and Somanur are small towns near Coimbatore. The villages near these towns, are home to a dynamic powerloom weaving cluster.
- Erode and Salem region also have a large number of power loom units.
- Tiruppur is famous for clustering of firms producing cotton knitwear.
- It accounts for nearly 80% of the country’s cotton knitwear exports and generates employment in the range of over three lakh people since the late 1980s.
- It is also a major producer for the domestic market.
- While initially most firms were run by local entrepreneurs, at present, some of the leading garment exporters in India have set up factories here.
- Karur is a major centre of exports of home furnishings like table cloth, curtains, bed covers and towels.
- Bhavani and Kumrapalayam are major centres of production of carpets, both for the domestic and the global markets.
- There are also traditional artisanal clusters such as Madurai and Kanchipuram that are famous for silk and cotton handloom sarees.
- Even these clusters have witnessed a degree of modernisation with use of powerlooms in several units.
3. Write in detail about the types of policies adopted by the Tamil Nadu government to industrialise.
- Industries require skilled human resources.
- The state gives much importance to primary education.
- To promote literacy and basic arithmetic skills, the state supplies vast technical human resources.
- There are a number of engineering colleges, polytechnics and Industrial Training Centres.
- The widespread electrification has contributed to the spread of industries in smaller towns and villages.
- Tamil Nadu is known for its excellent transport infrastructure. It has a network of minor roads which connect rural parts of the state to nearby towns and cities.
- Rural to urban connectivity is facilitated by public and private transport system.
- Active policy efforts have been made to promote specific sectors and also industrialisation in specific regions.
- Policies have been formulated to promote specific sectors like automobile, auto-components, bio-technology and information and communication.
- Several industrial promotion agencies have been put in place to provide supporting infrastructure to both large and small enterprises.
4. Explain the role of Entrepreneur
Entrepreneur play a most important role in the economic growth and development of a country’s economy.
- They promote development of industries and help to remove regional disparities by industrialising rural and backward areas.
- They help the country to increase the GDP and per capita income.
- They contribute towards the development of society by reducing concentration of income and wealth.
- They promote capital formation by mobilising the idle savings of the citizens and country’s export trade,
- Entrepreneurs provide large- scale employment to artisans, technically qualified persons and professionals and work in an environment of changing technology and try to maximise profits by innovations.
- They enable the people to avail better quality goods at lower prices, which results in the improvement of their standard of living.