Innovations for Business Management: Motivation and Barriers

Abstract

The business sector represents one of the most important parts of the modern economy. It creates and secures most products and services, contributing to most of the sales tax revenues. Business development is not possible without creating a favorable business environment and suitable conditions for creating and entering new business into the market. This paper focuses on the evaluation of some business environment factors in starting a business. Attention is attended to the business environment and funding activities management, including the managerial assessment of proactive, innovative, and business-supporting activities. Besides, this study encompasses the issues of obstacles and barriers to starting a business. The interest of the article is to point out the state and problems in the field of start-up entrepreneurs and the importance of supporting motivational factors and removing barriers by improving the business environment. Methodological tools of the research are classical methods of science analytics, synthesis, and data selection. The basic heuristic approach consists of professional literature on the subject matter, and secondary sources obtained from European Commission, Eurostat – Flash Barometer, and the World Bank to monitor selected indicators of the business environment and SMEs in Slovakia, EU-27 countries, and the world. The primary information was represented with the questionnaire-based survey conducted throughout the Slovak Republic, in which a total count of 426 respondents participated. For hypothesis testing, the Friedman Test, Kolmogorov – Smirnov test, and Kruskal – Wallis test was used. The empiric results confirmed the significant differences between motivational factors for starting doing business. At the same time, there are still significant barriers to enter the business in Slovakia, which considerably limit the further development of doing business in Slovakia. The article provides recommendations for improving the business environment’s current status and entering into business in the Slovak Republic. Keywords: small and medium entrepreneurship, innovations, business barriers and opportunities, business management.