Multiple choice

About ___ percent of the sick units in India are small units.

  1. 10

  2. 5

  3. 30

  4. 98

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Small-scale industrial units are particularly vulnerable to financial distress due to limited capital, inadequate management expertise, and difficulty accessing credit. The overwhelming majority of sick industrial units in India are from the small-scale sector, reflecting their structural disadvantages compared to larger firms with better resources and risk management capabilities.