International Association of Scientific Innovation and Research (IASIR)
Micro, Small and Medium sized Enterprise (MSME) are the backbone of any country's economy. In today's turbulent environment, MSMEs need to bring innovations in their products and processes so as to cater the customers in effective and efficient ways. But they lack necessary resources and skills to compete with large organizations. Therefore, MSMEs have to collaborate with each other to form Virtual Enterprise (VE) through which they can share information, resources, risks, responsibilities and rewards. In this paper, a proposed VE architecture has been developed for handicraft industry.