scholarly journals CURRENT CHALLENGES FOR THE ECONOMIC DEVELOPMENT OF SMALL ENTERPRISE IN UKRAINE

Author(s):  
Tetiana Pikhniak

The article investigates the problematic issues of small business development in difficult socio-economic conditions. The current state of development of business entities as a result of the introduction of quarantine as a result of COVID-19 is analyzed. Emphasis is placed on providing jobs for small businesses, as well as other factors that have a direct impact on their activities and development. The defining characteristics and problems of the main segments of entrepreneurship are clarified: individuals - entrepreneurs, micro-enterprises, small enterprises. Attention is paid to the main characteristics of small businesses: prevalence, geographical location, employment, productivity and the predominant field of activity. The main obstacles to the activities of small businesses are systematized, in particular: lack of access to finance, lack of a state support system, low level of innovation, limited opportunities for exports, excessive tax pressure, corruption. A group of limiting factors that currently affect the conditions of doing business is considered. These include: systemic factors, the impact of which can be eliminated or minimized as a result of the implementation of business development strategy and "background" factors that characterize the impact of the external environment on business and form the general conditions of its development. The study substantiates the importance of state support for the development of small businesses. The real state of support of small and medium business by the domestic government is considered - temporary reliefs for business during quarantine: reduction of financial obligations of small businesses to the state, provision of financial and consulting products on favorable terms: loan to replenish working capital, refinancing investment and working capital loans, deferred repayment of loans, imposing a moratorium on tax audits during quarantine, partial mitigation of penalties for late registration of tax invoices, non-payment of taxes, non-compliance with agreements with partners and financial institutions. It has been found that small business support should be comprehensive and on an ongoing basis. The ways of overcoming negative factors and factors for small and medium business in the future are offered: continuation of preferential conditions for enterprises, creation of anti-crisis fund, realization of credit programs, development of venture capital, creation of programs, directions. small business.

2021 ◽  
Vol 2 (2) ◽  
pp. 21-26
Author(s):  
Artem Degtiarov

The purpose of this research is the development of theoretical foundations for the functioning of the mechanism of state support for small business in a decentralized government based on a synergistic approach. The subject of the study: theoretical and methodological foundations for the functioning of the mechanism of state support of small business in the context of synergetics. Research methodology is a set of principles, approaches, general theoretical, special, and interdisciplinary methods of scientific knowledge, namely morphological analysis, comparative analysis, methods of deduction and logical generalization, analysis and synthesis. Functioning of the mechanism of state support for small business is considered on the basis of a synergistic approach. The synergistic approach is one of the most effective methodological bases for the development of modern economics. The article considers the key theoretical provisions for understanding this approach, substantiates the possibility and feasibility of its application in the implementation of this mechanism in modern economic conditions. Results. It is determined that the reform of decentralization of power has led to the creation of institutional problems in the economic mechanism of state support for small business. In the regions and territorial communities, there is no single mechanism to support the development of small business, which causes the inefficiency of this area of public policy. This justifies the relevance of the use of new methodological approaches to the formation of the mechanisms for implementing the state policy of business regulation. The importance of small business for the development of the national economy, ensuring its stability, is substantiated, the main approaches to the essence of entrepreneurship are investigated. Theoretical aspects of the functioning of the mechanism of state support for small business on the basis of traditional and systemic approaches are systematized, their positive aspects and shortcomings are determined. It is substantiated that in the conditions of economic transformations and introduction of the reform of decentralization of power it is expedient to use the synergistic approach in the research of the mechanism of the state support of the small business. It is emphasized that the very synergistic approach is able to study the process of functioning of the mechanism of state support for small business on the basis of evolutionary development and self-organization of complex systems. We propose to consider the mechanism of state support in the conditions of decentralization as a process of self-organization of small business entities and public authorities, which is carried out through their interaction with the meso- and macroenvironment. Conceptual bases of the use of the synergistic approach in the research of the mechanism of the state support for the development of entrepreneurship and its economic levers are developed. It is substantiated that the application of a synergistic approach in the process of formation and application of the mechanism of state support of small business will allow to take into account interdependence of economic processes and phenomena, to investigate the interaction of local authorities and small businesses under decentralization. The use of a synergistic approach as a research method also makes it possible to take into account the dynamics of the state support mechanism. The synergistic methodology in the study of the mechanism of state support for small business allows to take into account the existence of connections and interactions between the components of the mechanism, as well as the integrity and ability to change. Based on a synergistic approach, it becomes possible to ensure the development of small businesses by preventing threats. The next advantage is the ability to take into account the alternative scenarios of small business development of a particular region or territory in a changing socio-economic environment. Consideration of the mechanism of state support as a self-organized system makes it possible to study the patterns of self-organization, which in the future should become the basis for calculating the synergistic effect of the mechanism.


R-Economy ◽  
2021 ◽  
Vol 7 (2) ◽  
pp. 88-99
Author(s):  
Denis Yu. Fraymovich ◽  
◽  
Marina A. Gundorova ◽  
Zorislav V. Mischenko ◽  
Anna-Maria Guzhov ◽  
...  

Relevance. The living standards in any country largely depend on how developed is this country’s business sector. The latter, in its turn, relies on the availability and efficient use of resources. The problem that arises in this respect and that this study seeks to address is how to measure the resource potential available for the development of small businesses in order to choose the optimal strategy of stimulating this sector for this or that region. Research objective. The aim of this research is to study resources available to small businesses and their use in Russian regions. Data and methods. The set of indicators used in our analysis helps us measure the activity of small businesses in Russian federal districts. The key elements of the assessment are based on the official statistics and include the following: average labor productivity of small businesses, the unit turnover per small enterprise, the number of small firms per 10,000 people. Each of these indicators was analyzed by using the methods of mathematical statistics according to the three criteria: stability (S); average values (M); and the variability of the results (V), which characterizes interregional differentiation within a federal district/country. Results. The article proposes a system of indicators for diagnosing small business development based on the concentration and performance of small-sized enterprises. The quantitative results of such analysis can be used for choosing strategies of small business development. Conclusion. There was a significant decline in entrepreneurial activity during the post-crisis period of 2017-2018 in Russia, which could be explained by the impact of foreign sanctions and the difficult economic situation in the country (inflation, a sharp rise in the price of resources, difficulties in communication with international partners, and the difficulty or even impossibility to adopt efficient technologies in a short time). As our analysis has shown, some of the Russian territories still have underutilized resource potential that can be used for stimulating small business development.


Author(s):  
Igor Ponomarenko ◽  
Kateryna Volovnenko

The subject of the research is a set of approaches to the statistical analysis ofthe activities of small business entities in Ukraine, including micro-enterprises. The purpose of writing this article is to study of the features of functioningof small business entities in Ukraine. Methodology. The research methodology isto use a system-structural and comparative analysis (to study the change in thenumber of small enterprises by major components); monographic (when studyingmethods of statistical analysis of small businesses); economic analysis (when assessing the impact of small business entities on socio-economic phenomena andprocesses in Ukraine). The scientific novelty consists to determine the features ofthe functioning of small businesses in Ukraine in modern conditions. The influenceof the activities of the main socio-economic and political indicators on the activities of small enterprises in recent periods of time has been identified. It has beenestablished that there is flexibility in the development of strategies by small businesses in conditions of significant competition, which makes it possible to quicklyrespond to changing situations in specific markets. Conclusions. The use of acomprehensive statistical analysis of small businesses functioning in Ukraine willallow government agencies to develop a set of measures to optimize the activitiesof these enterprises, which ultimately will positively affect the strengthening oftheir competitiveness and will contribute to the growth of the national economicsystem.


2021 ◽  
Author(s):  
Milad Around

In the world of business special attention is paid to entrepreneurs for their potential and large corporations for their impact on the market. Due to this, small businesses often fall short of resources and tools to help them grow. The aim of this dissertation is to introduce a framework for decision making to small businesses as a tool to help embed more structure into their organization. The framework was then applied to two distinct case studies to display its functionality and usefulness. The framework consists of several steps: 1) corporate plan and financial assessment 2) a current state analysis 3) a quantitative and mathematical feasibility study of the decision The framework in each case study resulted in an objective and qualified decision. It also suggests that, due to the unique structure and characteristics of each small business, the framework proposed would only be relevant and applicable on a general level and more work is required to refine the details in order to be able apply it universally to business entities with limited working capital.


Author(s):  
S.V. Korobka

Small entrepreneurship in rural areas plays a significant role in the Ukrainian economy, since its development contributes to the economic growth of the welfare of rural residents, the acceleration of scientific and technological progress, contributes to the saturation of the territorial markets with the necessary goods and services, and provides employment of freed labor resources. However, one of the main problems that slow down the development of small businesses in rural areas is the lack of financial support at the regional and national levels. A prerequisite for the further successful development of small business in rural areas is the stable and comprehensive state regulation. To date, there is no single algorithm of state intervention in the sphere of entrepreneurial activity. Each state, in accordance with socio-economic conditions of development, establishes state priorities and general state development. Small entrepreneurship in rural areas develops under the influence of external participants in the process: the state, local governments, and competitors. In reforming the economy, small businesses in rural areas have assumed the role of creator of the foundation for creating a new management system. The creation of small enterprises in rural areas allows solving a number of organizational and economic tasks, namely: the refusal of centralized management due to its ineffectiveness; creation of conditions for the reduction of the number of employees due to the elimination of ineffective units; the implementation of rational transformations for the further development of a particular area of the entire region. State regulation and support for the development of small businesses in rural areas in Ukraine should include a system of regulatory, economic and organizational measures that will promote the living standards of the population in rural areas, increase the efficiency of economic activity and rational use of available resources. Consequently, the further development of rural areas of Ukraine depends on how the state, community and rural dwellers work in this regard. The reasons for the slowdown of rural areas are the lack of human capital in rural areas, as well as financial support. It is also necessary to develop a single legal space within which social partnership of all members of society can be realized for the common goal – development and prosperity of not a separate group of people, but of the entire population of our rich country. Prospects for further research we see in the future the study of regional features of state support of small business in rural areas.


2021 ◽  
Author(s):  
Liudmyla Lukashova

The purpose of this article is the further development of the theory of adaptation, determining the types of adaptation of business entities and substantiation of the adaptation dominants of the development of national small business within the situational and standard adaptation. The article considers the concept of adaptation, gives the author's definition of adaptation in relation to small businesses, highlights the situational and standard adaptation. Situational adaptation should be understood as the process of gaining change by small businesses that allow them to function better in the current environment, achieve economic security and prevent bankruptcy. Standard adaptation (desired state of the system) to the conditions of the external environment, in which the small business entity operates, is to strive to achieve ideal parameters of the state of the system. The adaptation dominants of the development of national small business in terms of situational adaptation include: adaptation of economic activity of small businesses to the conditions of unstable economic environment; The adaptive dominants of the development of national small business within the framework of standard adaptation are substantiated, namely: adaptation of normative-legal provision of small business development to norms, standards and requirements of the European Union; adaptation of international experience in small business lending to the peculiarities of the national economy; adaptation of the international experience of "economic breakthrough" at the expense of small businesses of the world's leading countries; adaptation of the international experience of facilitation of small business development to the Ukrainian realities. The process of adaptation of the facilitation experience should be preceded by a comparative assessment of the effectiveness of the implemented facilitation measures, which will allow determine their priority and feasibility of implementation in relation to national small businesses. The article examines the adaptive dominants of small business development both from the point of view of a small business entity and from the point of view of state regulatory policy.


2019 ◽  
Vol 7 (2) ◽  
pp. 86-90 ◽  
Author(s):  
Варвара Кулькова ◽  
Varvara Kulkova ◽  
Александр Суглобов ◽  
Aleksandr Suglobov

Relevance and purpose of the work. In modern conditions of activating state support for small business development in the Russian Federation and the spread of regional practices, new generalizations and conclusions about the stages and institutions of modern business development in the form of small business are required. In accordance with this, the purpose of the study was formulated - to identify the stages and describe the regional model of small business development institutions. Object of study - the Republic of Tatarstan (RT). Materials and methods. A quantitative description of the number of small businesses in a comparative assessment with medium and large businesses based on the calculation of indicators of the relative size of the structure of small businesses (OVSmp), growth rates (Tpr). Characteristics of the stages of small business development in the Russian Federation by the method of verbal description of criteria. Comparative functional analysis of small business development institutions in the Russian Federation with detailing at the meso-level in descriptive modeling of a regional model of small business development institutions in the Republic of Tajikistan. In the presentation of the results, gauge-analytical methods were used - tables and figures. Results and conclusions. According to the results of a retrospective analysis of the stages of small business development, an impact on the change in the number of small business enterprises of state support is found. The most productive in the context of the development of small business is the period of 1992-1995. Within the framework of foreign trends in the development of state support for small businesses in the Republic of Tajikistan, a federal program of state support for small businesses is being implemented on co-financing terms, within which business incubators are supported; export-oriented small business; fund of assistance to small enterprises in the scientific and technical field.


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.


2019 ◽  
Vol 16 (2) ◽  
pp. 72-81
Author(s):  
Ludmila Verovska ◽  
Renate Zujeva

Abstract Research purpose. The purpose of this study was to determine the role of small and medium enterprises in the economy, as well as to study and evaluate the effectiveness of government support methods for small business entities (SMEs) using the example of the Republic of Latvia. The subject of the research was the system of state regulation and promotion of SME development. The object of the research was the sphere of small business in the Latvian economy, including SMEs, infrastructure support and development of small business. Design/Methodology/Approach. The study used basic methods of scientific knowledge of economics: an interdisciplinary approach combining methods of systems and comparative analysis, an integrated approach, induction, deduction, analysis, synthesis, methods of organization theory and management, logical analysis, strategic management and also economic analysis of small businesses. Findings. The research resulted in a system of state regulation and promotion of SME development in Latvia developed by the author, based on an assessment of the impact of measures provided to support SMEs, taking into account the importance of the role of small business in the economy of the Republic of Latvia. Originality/Value/Practical implications. The practical significance of the work is that the study completes a number of conclusions and practical recommendations in the field of organizational measures for effective support and multilateral development of the SME sector in the economy, recognition of the role of small business as the basis of the economic stability of the Republic of Latvia and the effectiveness of its support as the main state economic policy goal.


Author(s):  
A. V. Kazakov ◽  
◽  
A. N. Prikhodko ◽  

Small business is the basis for the well-being of the economy of the state. In addition to the state support, a favorable investment climate and the overall economic situation, very important is the selected management concept for the stability and development of small businesses. The article analyzes the role and state of small business in the crisis period in the Russian Federation. Conclusions are made about the role of managerial activities for achieving success of the enterprise. The main features of managerial activity are presented and analyzed in regard to a small enterprise. Special attention is paid to the impact of the management activity functions at a small enterprise.


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