This is a bit of fanciful exaggeration. There are a lot of small shopkeepers in India. There is no reason to believe they've been stabbing and shooting their competition.
Have you ever owned a non IT business? I am in India and my friends who have successful shops received death threats many times. One even sold his hotel because his son was getting kidnapped all time.
When I say 'small shopkeepers', I don't mean people who are rich enough to own hotels. I mean mom and pop grocery shops or the neighbourhood tea stall.
But these are not the kind of small businesses I was talking about.