Strategic management of innovative and investment business development in crisis of economic conditions

The article considers the key points of application of strategic management in the management of innovation and investment development of small businesses in the context of state regulation. The purpose of the article is to develop theoretical provisions at developing of strategic principles of innovation and investment development of small business as a tool for implementing socio-economic policy. The influence of the functioning of small business institute and its innovation and investment activity on the socio-economic development of the has been justified. According to the generalization of leading scientists researchеs, it has been noted that the state support of innovation and investment activities of small businesses is extremely important for the development of regions and local communities. The list of problems of objective and subjective nature of small business development at the present stage has been outlined. It has been substantiated the need to develop a long-term policy of the state based on the strategic supporting of innovation and investment component of small business. It has been noted that the strategic supporting of innovation and investment activity of small business is possible provided the development of an appropriate system of strategic management. The main goals of this system has been outlined. It has been determined that the system of strategic management of small business development involves the implementation of strategic measures at the national, regional and municipal levels, each of which determines the list of economic and administrative instruments that will contribute to the effectiveness of state regulation of small business. The basic requirements for the functioning of the system of strategic management of innovation and investment development of small businesses have been developed. The conformity to these criterias will increase the effectiveness of strategic management. The list of tasks to be implemented in the process of functioning of the strategic management system has been determined. It has been established that the process of strategic management of innovation and investment development will be effective on the monitoring basis. It would establish the program measures for support of small business by public authorities and the formation of an effective feedback system between business and government at all levels.

Love books: sustained success amidst uncertainties

Subject area: The sub field of academia that the case is designed to teach is small business development, entrepreneurship or women in business. Study level/applicability: This case is appropriate for graduate and post-graduate, MBA and executive education students focusing on entrepreneurship, small business development or women in business. Case overview This real-life case is based on interviews that took place with Kate Rogan, the co-founder of Love Books, and other stakeholders associated with the small bookselling business that is based in the suburb of Melville in Johannesburg. It describes how Rogan’s past influenced how she saw and was open to the opportunity; and how, through passion, commitment, dedication and stakeholder management, she created a business that brought meaning to her and others’ lives. Rogan’s vast experience in editing, publishing and radio influenced how she evaluated the bookstore opportunity. For the past 11 years, she focused on building a loyal customer base through knowing her customers, staying on top of current industry and market trends and constantly thinking about how she could add value through minimal financial outlay. COVID-19 further complicated her thinking about how to traditionally market and sell books to her client base. As the case concludes, Rogan wonders how to build upon the foundations of her successful bookshop and grow profitability while remaining true to her and the business’s values. Expected learning outcomes The case allows students to consider the key enablers for assessing entrepreneurial opportunities and drivers of small business growth. Following discussion and analysis of the case, students should be able to: explore how cognitive dynamics affect an entrepreneur’s evaluation of opportunities; analyze the case against the 4Cs (continuity, community, connection and command) of competitive business advantage; evaluate building blocks for sustainable business profitability; and assess and recommend different learnings for entrepreneurs and small business owners. Supplementary materials Teaching notes are available for educators only. Subject code CSS 7: Management Science.

Small business and social stability of society

In any country in the world, the importance of small business development is great in establishing a stable economic and political environment. Small business is recognized as a guarantor of employment, revenues growth and social stability. In the development of small business, the state's particular interest lies in it's socioeconomic role. Solving problems in a small business is the same as sustained economic development. Development of small business has a special role in the regions of Georgia. Today an important issues are resolved for the development of entrepreneurship. "Rules of the game" of small business are relatively acceptable and stable. An administrative barriers ar fewer. Nevertheless there are still a number of problems in a small business development today. Many institutions of market infrastructure are not fully accessible to small entrepreneurs yet. Anty-monopoly activities are not enough. We don't have different approaches in small business policy by region specifics. The main problem of small entrepreneur is finances , expensive bank loans, which significantly interrupts start-up and development of new business.

The Urban–Rural Divide: The Effects of the Small Business Innovation Research Program in Small and Nonmetro Counties

This study assesses the efficacy of the Small Business Innovation Research Program on innovation, employment, and business formation in small and nonmetropolitan counties. The primary goal is to further understand rural innovation and growth process through government intervention on small business development. Using panel data and employing fixed-effect models, the results suggest that, compared with large metropolitan counties, the Small Business Innovation Research Program may not be an effective program to generate employment and entrepreneurship opportunities in small and nonmetropolitan regions, but it could be a viable source to improve rural innovation outcome. The geographical effects of the program are heterogeneous across implementation years and award agencies. This study contributes to the innovation policy agenda in small and nonmetropolitan regions, which is an important and emerging topic in the field.

THE MECHANISM OF STATE SUPPORT FOR SMALL BUSINESS DEVELOPMENT: SYNERGISTIC ASPECTS

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.