Development of Microenterprise Lays on Trade-off between SHG-Business and Poor Families' Wage-job

Abstract

This paper studies the perplexity of scope for poor families in the establishment of microenterprises through SHG businesses. It is a buzz word in the SHG businesses that a matured SHG group has the capacity to establish microenterprises to support their families with income and employment to enhance their poverty level. The growth hierarchical system of SHGs under the programme seems very easy and it tells that promotion of SHG business means eradication of poverty and income generation for the masses. But the practical field says something else which may not be suitable to listen because the trade-off between the SHG-business and wage-job is stood as an impediment for internal self motivation of members to the growth and development of microenterprises. This paper tries to analyse in the purview of income earning capacity of members of a group and the situation of trade-off between SHG-business and wage-job. The means of main income sources to run SHG-members' family is basically the wage-job on which most of them are dependent. In this case the motivational factors of programmes fail to work on the members of SHGs to lure them solely for the business of SHGs. Besides, in practical, income from SHG businesses is not sufficient to manage the household expenditure as well as the cost of capital investment in the businesses of SHGs. Hence, the members from poor families arrive at a decision where have to go for the sustainability of their household. Is it to go for SHG business which cannot supplement their main source of income for their families? Or should they go for wage job that old practice which may give at least some daily support than new one. The wage-job at least can give a way to survive somehow without any risk of failure and without incurring loss for the investment. The resulted explanations in the paper have tried to show some intervening present scenario of micro credit programmes and status of members of group businesses in Meghalaya.