Which one of the following is not correct in the context of industrial clusters development in India?

Industrial clusters in India are designed to enhance the competitiveness of Micro, Small, and Medium Enterprises (MSMEs) by overcoming disadvantages related to economies of scale and weak capital bases. They play a vital role in technology absorption, efficiency improvement, and socio-economic inclusiveness [4]. These clusters are visible across traditional sectors like handlooms and handicrafts, as well as modern SME sectors [5]. Various ministries, including the Ministry of MSME and the Ministry of Textiles, administer cluster development programmes such as the MSE-CDP and the Comprehensive Handicrafts Cluster Development Scheme [3]. Contrary to promoting monopolies, clusters are intended to foster collective efficiency and joint action among numerous small players to compete more effectively in a globalized market [4]. Therefore, the statement that industrial clusters lead to the promotion of monopoly is incorrect, as their primary goal is to support a vibrant, competitive ecosystem of small-scale participants.

Sources

1. [2] https://www.iima.ac.in/sites/default/files/rnpfiles/2002-02-01RakeshBasant.pdf
2. [4] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 12: Indian Industry > INDIAN INDUSTRY > p. 375
3. [3] https://abp.championsofchange.gov.in/public-assets/Best_Practices_Downloaded_Compendiums_(5)/Working-together-works.pdf
4. [5] Geography of India ,Majid Husain, (McGrawHill 9th ed.) > Chapter 11: Industries > Governmental Initiatives for Textile Development: > p. 26
5. [1] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 7: Indian Economy after 2014 > MSME's role in socio-economic development: > p. 234