scholarly journals Which Manufacturing Enterprises Have Received Advantages in Access to Government Orders After the Crisis of 2014–2015?

2021 ◽  
Vol 13 (1) ◽  
pp. 095-114
Author(s):  
Yuliya D. Rodionova ◽  
◽  
Andrey A. Yakovlev ◽  

This paper, based on two surveys of manufacturing enterprises in 2014 and 2018, analyzed the characteristics of enterprises receiving public orders, as well as the dynamics of changes in access to public procurement after tightening external conditions for the Russian economy against the backdrop of international sanctions and the 2014–2015 crisis. The analysis showed that in 2016–2017 in the manufacturing industry, almost half (45%) of large and a third of medium-sized firms had public contracts. However, among the small firms that took part in the survey, only 22% received public contracts, despite the declared policy of supporting small businesses. In contrast to 2013, in the post-crisis period there were no significant differences in access to public procurement for enterprises with and without state participatio n. Along with this, the state began to impose more requirements on the disclosure of information on the structure of ownership by enterprises. Membership in business associations gave advantages in access to public procurement for medium and large enterprises, but this effect was absent for small firms. In general, against the background of international sanctions and the crisis of 2014–2015 for all types of enterprises in the post-crisis period, the scheme of complementarity of direct and indirect instruments of state support has been preserved, and for small enterprises, the manifestations of the "model of exchanges" between government and business have become more significant, thus small enterprises providing assistance to the regional and local authorities in the social development of the region, more often received public orders.

2020 ◽  
Vol 18 (4) ◽  
pp. 48-58
Author(s):  
Vladislav V. Spitsyn ◽  
Alexander A. Mikhal'chuk ◽  
Anastasia A. Bulykina ◽  
Svetlana N. Popova ◽  
Irina E. Nikulina

Leading world countries view innovative development and high-tech business as an opportunity to overcome economic stagnation and decline in economic growth. One of the modern trends in the analysis of high-tech development is the study of high-tech knowledge-intensive service industries and their development in times of crisis. The purpose of the paper is to identify patterns of development of large, medium and small enterprises in high-tech service industries in Russia during periods of crisis. Economic and economic-mathematical methods of analysis are applied to the formed samples of enterprises. The research period is 2013-2017. The financial indicators of enterprises were adjusted for the level of accumulated inflation in relation to 2013. According to results, large and medium-sized enterprises showed insignificant or weak significant positive dynamics of revenue during all years of the crisis period. The crisis period did not lead to a decrease in the revenue of these groups of enterprises. The acute phase of the crisis (2014-2015) had a pronounced negative impact on the group of small enterprises in all studied industries, but they successfully recovered in 2016-2017 and reached the pre-crisis level of revenue. The total revenue by industries and groups of enterprises in 2017 became higher than in 2013, and its growth rates were significant for many groups of enterprises, which indicates a successful overcoming of the crisis period and signs of growth in high-tech service industries. Our study shows the need for state support for small businesses in high-tech service industries in crisis conditions, and identifies the possibilities of adaptation of enterprises in these industries to an unfavorable external environment. Our results may be useful for the purposes of government stimulation of economic development in the current environment.


Author(s):  
Ying Yan Tan

Services are products or ways businesses differentiate from others to attract customers. Characteristics of service, which include intangibility, perishability, and dependence on individuals who perform the services, make it valuable asset and competitive advantage to firm when well-managed. It is crucial for quality services to be preserved through standardization though there are different individuals who bring customers through service experiences. Service standardization involves consistency in work processes, attitudes, and ability to create similar experiences to customers who patronage the firm. The author believes that standardization of manpower quality is a way to service standardization. Standardization efforts can be found in many flexible practices in small enterprises, which are thought to be peculiar ways small firms survive competition. The conceptual paper covered questions from the author about service standardization, which will lead to future studies to go behind the scene of service standardization efforts in SMEs and their impacts on Malaysian small firms.


Author(s):  
Izak Atiyas ◽  
Ozan Bakış ◽  
Esra Çeviker Gürakar

It has widely been asserted that an important dimension of social dynamics that eventually carried the Justice and Development Party (Adalet ve Kalkınma Partisi, AKP) to political power is the emergence of a “devout bourgeoisie” especially in the new growth centers of Anatolia. This chapter uses firm-level data since the 1980s to trace the economic and especially productivity dynamics in the manufacturing industries of new growth centers in Anatolia (“Anatolian Tigers”) in comparison to traditional growth centers (the “West”). It observes that what happened in the 1990s in the Tigers was a significant change in the size distribution of employment with the emergence of a significant number of medium-sized enterprises. In the late 2000s, there was a more visible convergence between labor productivity in the Tigers and the West and this convergence was more visible among large firms. The chapter examines the evolution of members of religious business associations among the largest 1000 manufacturing firms in Turkey, observing that the number of such firms increased substantially especially after the mid-1990s. These firms are export oriented, on average smaller than firms associated with business associations that represent the traditional industrial elite, and more concentrated in relatively labor-intensive industries that display lower productivity. The chapter argues that the evidence is broadly consistent with a story of increased inclusion and competition in manufacturing. It discusses the role of political connections and concludes that they possibly had a more diminished role in the emergence of devout businesses in manufacturing compared to rent-thick activities such as public procurement, construction, or regulated industries.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kostas Selviaridis

Purpose The study aims to investigate how pre-commercial procurement (PCP) influences the activities, capabilities and behaviours of actors participating in the innovation process. Unlike much of PCP research underpinned by a market failure theoretical framework that evaluates the additionality of innovation inputs and outputs, this paper focusses on the role and capacity of PCP in addressing systemic failures impeding the process of innovation. Design/methodology/approach PCP effects on the innovation process were studied through a qualitative study of the UK small business research initiative (SBRI) programme. Data collection comprised 33 semi-structured interviews with key informants within 30 organisations and analysis of 80-plus secondary data sources. Interviewees included executives of technology-based small businesses, managers within public buying organisations and innovation policymakers and experts. Findings The UK SBRI improves connectivity and instigates research and development (R&D) related interactions and cooperation. Through securing government R&D contracts, small firms access relevant innovation ecosystems, build up their knowledge and capabilities and explore possible routes to market. Public organisations use the SBRI to connect to innovative small firms and access their sets of expertise and novel ideas. They also learn to appreciate the strategic role of procurement. Nonetheless, SBRI-funded small business face commercialisation and innovation adoption challenges because of institutional constraints pertaining to rules, regulations and public-sector norms of conduct. Research limitations/implications The study contributes to existing PCP research by demonstrating innovation process-related effects of PCP policies. It also complements literature on small business-friendly public procurement measures by highlighting the ways through which PCP, rather than commercial procurement procedures, can support the development of small businesses other than just facilitating their access to government (R&D) contracts. Social implications The study identifies several challenge areas that policymakers should address to improve the implementation of the UK SBRI programme. Originality/value The study demonstrates the effects of PCP on the activities, capabilities and behaviours of small businesses and public buying organisations involved in the innovation process.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tonatiuh Najera Ruiz ◽  
Pablo Collazzo

Purpose The purpose of this paper is to explore if and how micro and small firms apply management accounting (MA) techniques. Design/methodology/approach The study is based on 36 semistructured interviews with micro and small firm owners/managers in Mexico. Content analysis is used to identify how these enterprises use MA tools. Findings Micro and small firms consistently use MA tools. Most of them have some sort of planning, set objectives, have a costing system – even if budgeting is unusual – and use one or two metrics to monitor performance. Research limitations/implications This is exploratory research with a limited and nonrandom sample. Only a limited number of MA tools were studied. Practical implications Micro and small firms’ use of MA tools. This is arguably important because these enterprises use these techniques in a way that is different from the traditional approach used in bigger corporations. A relevant implication emerging from the findings, as a contribution to practice would be the need to include MA for micro and small businesses in formal training and textbooks. Originality/value On top of providing and assessing empirical evidence on a debate that has been so far largely theoretical, and on the back of the relative weight of micro and small enterprises in any given economy, this paper aims at reinforcing awareness on the need to further the study of the decision-making process in such firms.


10.14311/422 ◽  
2003 ◽  
Vol 43 (2) ◽  
Author(s):  
V. Beran ◽  
J. Frková

SMEs (Small and Medium Enterprises) are important segments of the economic landscape of the Czech Republic, since half of economic production is attributable to SMEs (52.85 %). The role of SMEs in the Czech Republic is the outcome of a long history of economic development and industrialization throughout the 20th century. Large enterprises prefer to locate their factories according to range of regional opportunities. Small enterprises are more dependent on business conditions in their region. The transaction costs are relatively high for small firms. These contraints mean that regions without an attractive environment for business need to create acceptable conditions for small businesses, if they are looking for sustainable development.


Author(s):  
Natalia E. Egorova ◽  
Ekaterina A. Koroleva

The article provides system analysis of small business. The paper presents quantitative indicators of the development of the subjects of Russian small business contained in various statistical databases (Rosstat, Federal Tax Service), reveals the incompatibility of the data, which complicates the analysis of the considered sector of the national economy. It is concluded that the scale of development of small business is insufficient, which does not allow for the full implementation of its inherent functions. The necessity of supplementing the quantitative approach with a qualitative analysis of small business as a mesoscale system has been substantiated. The concept of heterogeneity of its structure is introduced, characterized by the presence of a triad of categories (“kids”, “genetic dwarfs”, “transformers”) and a triad of subcategories (“travelers”, “reorganizers”, “imago”) that determine the composition of “transformers”. Their system functions have been studied and it was concluded that the relationship between them, on one hand, determines the systemic stability of small business, and on the other hand, creates a “portrait” of small business in a particular state. Based on the proposed methodological principles, the specificity of the Russian small business model has been formulated, namely that the SME sector is currently not able to be the basis of a market economy, and the model itself is structurally unbalanced. Its distinguishing features include a low share of innovative oriented enterprises comprising “kids” and “dwarfs”, a significant number of small firms working in economic symbiosis with large enterprises, a relatively short life cycle of all categories of small businesses, a high share of imago and retiring due to the loss-making of small enterprises etc. The specifics of the implementation of micro-level development strategies of various categories of small enterprises is the use of credit resources of banks, increasing the stability of their functioning (including increasing their life cycle) have been considered. The necessity of a differentiated approach to the implementation of the mesoscale strategy of state support of small businesses has been substantiated. The conclusion has drawn on the importance of transforming the existing infrastructure to support Russian small business, and in particular – the importance of the role of state aid in times of crisis. Supporting measures for small enterprises in the context of the corona-virus pandemic in Russia and in foreign countries have been considered.


2003 ◽  
pp. 99-109
Author(s):  
A. Vilensky

The author states that associations of small businesses are necessary for formation of positive corporate business ethics, control over authorities, development of partnership of business and authorities aimed at improving economic performance. Stage-by-stage monitoring of associations of small enterprises is carried out in Moscow. Its first results show that opportunities of transferring some of the state control and regulating functions to business associations unfortunately are rather weak due to immaturity of small business itself.


2020 ◽  
Vol 8 (2) ◽  
pp. 31-36
Author(s):  
Yu. Dvoretskaya ◽  
O. Kuznetsova ◽  
L. Ermakova

The article reflects modern trends in the development of domestic small business entities – problems related to their reduction and volatility of financial indicators of activity have been identified. The authors noted the positive and negative characteristics of the modern tax environment for small businesses in Russia (paying special attention to the possibility of abolishing the special tax regime on payment of ENVD), proposed a model of optimization of the internal tax mechanism for small enterprises. The recommended model focuses on changing the activities of small firms in response to tax changes (both from an organizational and industry perspective). It is proposed to choose types of business activities that allow to minimize fiscal burden for small businesses.


2017 ◽  
Vol 25 (03) ◽  
pp. 317-337
Author(s):  
Jeremy A. Woods ◽  
Richard Gottschall ◽  
Charles H. Matthews ◽  
Alan L. Carsrud

Often owner/decision-makers in closely-held small businesses are overloaded with work and can become isolated from novel information that could improve their decisions and ultimately firm performance. These decision-makers become reliant on heuristics to ease their cognitive burdens and develop a strong bias for the status-quo. Research suggests that external counsel and/or informal advisors may help to encourage more thoughtful consideration of situations, thus exposing or alleviating status-quo bias. This paper contributes to the understanding of decision making in small firms by examining relationships between industry association membership and the willingness of decision-makers in such firms to adopt new technologies. Evidence is found suggesting that small firm owners’ access to decision-making information from business associations is related to a greater willingness to adopt new technologies. This is evidence of conscious decision-making that enables their small businesses to go beyond the status-quo.


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