An industry where the creation of products and services is home-based, rather than factory-

based. While products and services created by cottage industry are often unique and distinctive
given the fact that they are usually not mass-produced, producers in this sector often face
numerous disadvantages when trying to compete with much larger factory-based companies.

Small scale industrial units are those engaged in the manufacture, processing or preservation of goods
and whose investment in plant and machinery (original cost) does not exceed Rs.1 crore. These would,
inter alia, include units engaged in mining or quarrying, servicing and repairing of machinery. In the case
of ancillary units, the investment in plant and machinery (original cost) should also not exceed Rs. 1
crore to be classified under small-scale industry.

Ancillary industries are those which manufacture parts and components to be used by larger
industries. Eg- Companies like GE (ancillary) produce engines for the aircraft industry.

Large scale industries refers to those industries which require huge infrastructure, man power
and a have influx of capital assets. The term 'large scale industries' is a generic one including
various types of industries in its purview. All the heavy industries of India like the Iron and steel
industry, textile industry, automobile manufacturing industry fall under the large scale industrial
arena. However in recent years due to the IT boom and the huge amount of revenue generated by
it the IT industry can also be included within the jurisdiction of the large scale industrial sector.
Last but not the least the telecoms industry also forms and indispensable component of the large
scale industrial sector of India. Indian economy is heavily dependent on these large industries for
its economic growth, generation of foreign currency and for providing job opportunities to
millions of Indians