Competitiveness Of Small And Medium-sized Enterprises Research Articles

Creative destruction and knowledge creation as the mediation between innovation speed and competitiveness of food small and medium-sized enterprises in Malang, Indonesia

Purpose This study aims to examine the role of creative destruction and knowledge creation which is a mediation between the speed of innovation and the competitiveness of food small- and medium-sized enterprises (SMEs). Creative destruction and the creation of competency-based and market-based knowledge are usually carried out by companies in power to create barriers to entry and expand distance with similar businesses, so the role of creative destruction and knowledge creation as mediation to strengthen competitiveness is investigated. Design/methodology/approach The data in this study were collected from 161 UKM which are the population of food UKM in Malang, covering three regions, namely, Malang City, Malang Regency and Batu City. Warp Partial Least Square-Structural Equation Modeling (WarpPLS-SEM) has greater statistical requirements than other covariance-based methods, which are more likely to give results that are in accordance with the conditions of the population (significant if it is actually significant in the population) so that it is very efficient. Findings It is very important for the pace of innovation development to improve the competitiveness of food SMEs. Innovation ideas are quickly realized and products that enter the market faster have greater opportunities to increase competitiveness through profits and productivity. The pace of innovation development increases the competitiveness of food SMEs. This study proves that competitiveness can be increased once the pace of innovation development is followed by creative destruction and knowledge creation. In this case, creative destruction is done through increased competence and maintain the innovations that have been achieved by food SMEs. Increasing business competence can be done through cost efficiency, improving product quality and improving worker skills. This is done while maintaining innovation achieved to strengthen market networks, customer service and innovation in product packaging. The basis of organizational learning is knowledge creation; this point is missing in organizational learning theories. The focus here is on the creation of knowledge as a process, a missing factor in theories about learning organizations. Research limitations/implications This study has limitations that this study analyzes processed foods and innovations in general. Future research should investigate one type of processed food based on an innovation typology so that it can provide more effective and efficient recommendations. Originality/value To the best of the authors’ knowledge, this is the first known analysis of innovation speed and creative destruction for SMEs of food sector.

The business competitiveness of SMEs through mathematical modeling

The objective of this research is to propose a functional application model for small and medium-sized enterprises (SMEs), with the purpose of determining the optimal production preferences of your specific production system. The problematic that originates this research is the methodology of projection of the costs that practice this type of companies in the market ―which departs from a process of determination of the optimum batch of production―, which are based on models of mathematical determination. The applied methodology is of an analytical nature of a transversal type, the factorial study allows the application of descriptive statistics and the development of equations that determine variables of study of the ex ante model. The result of the research consists in the application to a scenario that represents the optimal level of transport costs of the SMEs products which interact in the market. It is concluded that mathematically it is possible use variables for determining the productivity and level of competitiveness.

Factors that influence the competitiveness of SMEs in the commerce and services sector in the Municipality of Palmira, Colombia

This study seeks to analyze and describe the business dynamics of small and medium-sized enterprises (SMEs) in the commerce and services sector in the municipality of Palmira, Colombia. In addition, it aims at analyzing the organizational characteristics (internal and external) to determine the factors that influence the strengthening of the variables that make them more or less competitive. The study used the estimation of an econometric model and data from 219 SMEs registered with the Chamber of Commerce1 – Palmira 2017. In addition to several investigations with similar claims that seek to study the variables that relate to organizational competitiveness and how this aspect is classified as a fundamental factor in the state of success or business failure in the world, it was found that variables such as the contribution that technical support programs make to strengthen the SMEs.Good management and knowledge of the financial situation of the company and the correct management of relations with suppliers are the variables that most influence the dynamics and internal and market behavior of companies in Palmira.It is evident that more than 40% of the companies surveyed have not been trained in issues associated with competitiveness, which indicates that there are weaknesses related to the synergies that should exist between the SMEs and the institutions that provide technical support. Consequently, companies that have received training are expected to receive higher sales from the strategies learned in these trainings.

Competitiveness Metrics for Small and Medium-Sized Enterprises through Multi-Criteria Decision Making Methods and Neural Networks

This paper aims to present a way to obtain competitiveness metrics for small and medium-sized enterprises (SMEs) in a country with emerging characteristics. Key performance indicators (KPIs) were selected through a bibliographical research and fuzzy-Delphi method. Competitiveness rates were obtained modelling these KPIs through a hybrid approach between VIKOR and TODIM methods, and artificial neural networks (ANNs). A set of 18 KPIs to evaluate, monitor and control SMEs competitiveness was defined. Individual competitiveness rates (ICRs) were obtained for SMEs and an average of 78.33 with the ANN × VIKOR hybridisation and 81.61 with the ANN × TODIM hybridisation (on a scale from 0 to 100). This paper can serve as parameter for other studies related to competitiveness evaluation. Through the KPIs set, it is possible to define measurement parameters, translating into better control and optimising possibilities for SMEs competitiveness, being used for comparisons and benchmarks for other similar Brazilian or global SMEs.

Innovation speed and competitiveness of food small and medium-sized enterprises (SME) in Malang, Indonesia

Purpose The purpose of this paper is to examine the role of creative destruction as mediation between the speed of innovation and competitiveness of food small and medium enterprises (SMEs). Creative destruction that is competence-based and market-based is usually done by incumbent enterprises to create barrier to entry and widen the distance with similar businesses, then the role of creative destruction as a mediation to strengthen the competitiveness is investigated. Design/methodology/approach To test this, data were collected from 161 SMEs that is the food SME population in Great Malang covering three areas namely Malang Municipality, Malang Regency and Batu Municipality. warp partial least square-structural equation modeling (WarpPLS-SEM) was applied because parameter estimation with WarpPLS-SEM is very efficient because it has greater statistical requirements than other covariant-based methods, which is more likely to deliver results that match the population condition (significant if that is in fact significant in the population). Findings The pace of innovation development is very important to improve the competitiveness of food SMEs. The idea of innovation is quickly realized and products that enter the market faster have a greater chance to improve competitiveness through profit and productivity. The pace of innovation development enhances the competitiveness of food SMEs. This study proves that competitiveness can be increased once the pace of innovation development is followed by creative destruction. Creative destruction in this case is done through increased competence and maintain the innovations that have been achieved by food SMEs. Increased business competence could be conducted through cost efficiency enhancing product quality and improving worker skill. It is conducted while maintaining the achieved innovation to strengthen the market network customer service and innovation in product packaging. The government’s role is proven not to strengthen the relationship of the pace of innovation development and competitiveness of food SMEs. The role of the government is reflected through credit facilities business licensing promotion marketing and training. These have been carried out by the government. Nevertheless, these activities do not generate widespread impact in strengthening the pace of innovation development to enhance the competitiveness of food SMEs. Research limitations/implications The main limitation of this study is that it analyzes processed foods and innovations in general. Future research should investigate one type of processed food based on the typology of innovation so as to provide more effective and efficient recommendations. Originality/value This is the first known analysis of innovation speed and creative destruction for SMEs of food sector.

The HR decision-maker’s emotional intelligence and SME performance

PurposeThis paper aims to examine the influence of the emotional intelligence (EI) of the human resources (HR) decision-maker on firm performance in small and medium-sized enterprises (SMEs), as well as the possible mediating role of the use of a system of HR practices in that relationship.Design/methodology/approachThe research involves a sample of 157 managers responsible for HR in SMEs. SMEs are examined because in these firms, decisions are not usually adopted on a collegiate basis. It makes these firms an ideal context for studying the relationship between HR decision-maker’s EI and firm performance.FindingsResults show that the HR decision-maker’s EI determines firm performance in terms of generation of valuable HR and financial outcomes. They also confirm the mediating role of the system of HR practices in that relationship.Research limitations/implicationsThis research suggests that an adequate understanding of the importance of EI can guide efforts to boost SMEs competitiveness. Thus, as SMEs are an important part of the business fabric in the majority of developed economies, the implications of this study are significant.Originality/valueFindings in this research suggest that the workplace is not managed exclusively on a cognitive basis since emotional competences may play an important role in the HR management and SMEs’ performance.

The Contribution of Entrepreneurial Orientation to Improve the Competitiveness of Small and Medium-sized Enterprises (SMEs): Agricultural SMEs in the Fes-Meknes Region as a Case Study

Objectives: Our research aim is to determine the relations between the different dimensions of the entrepreneurial orientation and the competitiveness. Its main purpose is to establish a conceptual framework for EO closely related to competitiveness, and then test our model. Methods/Statistical Analysis: Its main purpose is to establish a conceptual framework for EO closely related to competitiveness, and then test our model. A sample of 130 agricultural SMEs (farmers, agribusinesses, agricultural equipment companies and agricultural furniture) was formed. We were able to access these companies thanks to the list provided by the Regional Directorate (DRA). To describe the behavior of our variables, we used SPSS (25). To answer our problematic and to test our research hypothesis, we carried out a descriptive analysis to describe our sample, and then we continued the univariate analysis and principal component analysis (PCA). Findings: The results indicate that the dimensions of EO are positively correlated with the competitiveness of agricultural SMEs in the region. Practical /implications: An important consequence of this research is that the interesting results allow management consultants to focus on improving their entrepreneurial orientations agricultural SMEs in FES-Meknes region, in their training, in order to improve their competitiveness. Keywords: Competitive Advantages, Competitiveness; Entrepreneurial Orientation, Innovation, Risk-Taking and Pro-Activity

The role of government and the international competitiveness of SMEs

PurposeThe nature of international markets and the challenges with respect to the competitiveness of small- and medium-sized enterprises (SMEs) makes it imperative to examine government support. This study aims to assess the role and effectiveness of government and the export promotion agencies in supporting exports by non-traditional horticultural SMEs in Ghana.Design/methodology/approachThe study used a qualitative research design, which involved semi-structured interviews with senior managers of six export facilitating institutions to gain an understanding of the services offered to SMEs with respect to exports of non-traditional horticultural products.FindingsThe findings reveal inadequate cost-efficient sources of non-traditional horticultural export financing for SMEs. This is a hindrance to the international competitiveness of exporting SMEs in developing countries such as Ghana. In addition, effective and coordinated support from export promotion agencies was found to be critical.Originality/valueThe study highlights the importance of government’s role in policymaking and implementation of export-led programmes for horticultural exporting firms in Ghana. Despite their strategic importance, this area of research has not attracted the attention of researchers, with little or no information on the horticultural international competitiveness of non-traditional horticultural products.

Model of Maturity and Audit of Innovation Management in Micro, Small And Medium-Sized Enterprises (SMEs) in Brazil

Objetivo do estudo: Analisar o grau de gestão da inovação e propor modelo de maturidade para SMEs brasileiras. Metodologia/abordagem: Estudo comparativo de casos de abordagem quantitativa e qualitativa, descritiva e aplicada, para SMEs brasileiras; utilizados os métodos dedutivo e indutivo e a triangulação de dados para análise e proposição do modelo. Originalidade/Relevância: Desafio de se compreender, em profundidade, os fatores críticos e os relacionamentos entre a inovação, o desempenho e a competitividade das SMEs, importantes para sua sobrevivência, crescimento e desenvolvimento, especialmente em economias emergentes como a brasileira. Principais resultados: (i) a despeito das dificuldades práticas de gestão da inovação e da ausência de uma estratégia formal em algumas SMEs para incentivar e suportar os processos inovativos, essas se relacionam direta e indiretamente com o desempenho e a competitividade dessas empresas; (ii) o grau de maturidade da inovação é i nfluenciado pelas características das SMEs e de seus gestores, e a auditoria e a gestão da inovação ampliam a sua capacidade de sobrevivência, crescimento e desenvolvimento empresarial. Contribuições teóricas/metodológicas: (i) teóricas, ao colaborar para preencher a lacuna supramencionada e ampliar o conhecimento sobre o tema no âmbito das SMEs; (ii) aplicadas, ao propor um framework específico para auditoria e aferição do grau de maturidade da inovação em SMEs, a partir de referencial validado pela literatura internacional. Contribuições sociais / para a gestão: O modelo proposto traz contribuições gerenciais por refinar a práxis das SMEs quanto à gestão da inovação, oferecendo a empresas em situações similares uma oportunidade de benchmarking competitivo.

Sustainable Competitive Advantage of SMEs through Resource and Institutional-Based Management: An Empirical Study of Batik SMEs in Central Java, Indonesia

Purpose – The aim of this study is to find out and to analyze the capacity for developing small and medium-sized enterprises (SMEs) of batik in Central Java, Indonesia. Batik is a traditional hand-crafted dye-resist textile, rich in intangible cultural values that has been passed down for generations. Batik refers to either a technique of wax-resist dyeing applied to whole cloth or cloth made using this technique originating from Indonesia. Design/Methodology/Approach – The primary data was collected by interview method with one hundred respondents who are batik entrepreneurs in Central Java, Indonesia. The data collection was carried out using the focus group discussion (FGD) method. Secondary data was used to enrich the analysis. A quantitative model was examined through empirical analysis to fulfill the proposed aim of the research. Findings and implications – The result of this research shows that business scale, market access capacity, and financial capacity all influence the competitiveness level of batik SMEs. Furthermore, cooperatives can strengthen the influences of market capacity and financial capacity on the competitiveness of SMEs although they are not effective in strengthening the technological and innovative capacities of SMEs. This study shows that SMEs in the form of batik industries can become a high-earning industry with high performance if they have the ability to compete. Limitations – This research is limited in scope with regard to its approach to resources. The institutional study is only viewed from the angle of cooperatives, which are one of various forms of non-market management. Originality – The novelty of this research lies in the discovery of the role of cooperatives in supporting the competitiveness of SMEs.

The role of small- and medium-sized enterprises in the Dutch economy: an analysis using an extended supply and use table

Firm size is increasingly acknowledged as an important factor for (macro-)economic policy. It is known that the overall importance of small- and medium-sized enterprises (SMEs) is different relative to large multinationals in terms of their impact on economic growth, exports and innovation. Yet empirical evidence to substantiate the role of firms of different sizes is rare. To tackle this problem, we develop a novel approach by extending the Dutch supply–use framework to firm size. We utilize firm-level data to construct a purpose-built supply–use table distinguishing between SMEs and large enterprises and derive an extended input–output table. In doing so, we adopt a more evolved definition of SMEs, accounting for the fact that small firms may be subsidiaries of large (multinational) enterprise groups. The analysis shows that due to their function as suppliers, SMEs benefit much more from Dutch exports to foreign markets than the traditional export figures show. SMEs are less dependent on imports than large enterprises. This might be detrimental to the competitiveness of SMEs if they do not fully appreciate the benefits of sourcing internationally in terms of cheaper or higher quality inputs. The paper shows the policy relevance of macroeconomic statistics which distinguish firm size.

The impact of SME internationalization on innovation: The mediating role of market and entrepreneurial orientation

In today's highly competitive global environment, even small and medium-sized enterprises (SMEs) need to make product and process innovations in order to outperform the competition and satisfy global customers. Investigating the success factors of innovation performance has become critical for the survival and competitiveness of SMEs. The aim of this study is to explore the impact of the degree of internationalization (DoI) on innovation performance through the mediating factors of market and entrepreneurial orientation in the context of emerging-market SMEs. We tested our model and hypotheses with 235 SMEs in the United Arab Emirates, which is an emerging market. The results obtained from partial least squares estimates indicate that the degree of internationalization positively affects innovation performance and, more importantly, that this relationship is indirect and fully mediated by market and entrepreneurial orientation for SMEs. These results shed light on the mechanism of the effect of DoI on innovation performance in the emerging-market SME context.

Corporate Social Responsibility in SMEs: Implications on Competitive PerformanceDate submitted: October 12, 2017Revised version accepted after double blind review: December 15, 2018

This study explores the relevance of corporate social responsibility (CSR) in the context of small and medium-sized enterprises (SMEs). The role of CSR in SMEs has so far been scarcely researched, and the relationship between internationalisation and CSR development in SMEs, in particular, could do with the further study. Since it has been found that organisational capabilities and CSR both impact SME performance, we illustrate these relationships and differentiate between the domestic and internationalised SMEs. The empirical part of the study is based on the survey data from a sample of 141 Finnish SMEs. Results obtained via linear regression modelling show that network competence plays a part in contributing to CSR, which in turn positively affects the SME’s competitive performance, but only in internationalised SMEs. CSR is found to mediate the relationship between network competence and competitive performance. The study thus contributes both to the literature on CSR as well as that on SME internationalisation and argues for the importance of the former as a true predictor of enhanced SME competitiveness.

Factores Relevantes De Competitividad En Pymes

Competitiveness in all areas has increased with the opening of trade worldwide. This resulted to greater pressure on entities that have lags compared to others that are more prepared and which are better located internationally. In this context, small and medium-sized enterprises (SMEs) show lower levels of competitiveness than the large industry. This occurs most especially when they are located in developing countries, given the holistic nature of competitiveness. This paper focuses on identifying the relevant factors of competitiveness of SMEs. During the bibliographic research, networks, finances, innovation, and information systems were identified as recurrent preponderant factors in the four levels of systemic competitiveness: micro, meso, macro, and meta. This article shows the result of the first stage of the research, and is structured with concurrent triangulation design to perform cross validation of quantitative and qualitative aspects. The study was performed using a non-probabilistic sampling and with systemic representation through personalized interviews of different people from different groups involved in the system of which the SME’s of the State of Puebla, Mexico, are partly related to the automotive and auto parts sector. The four factors were confirmed in this research stage and, at the same time, five other relevant factors were also recognized: knowledge, culture, specialization, diversification, and institutionalization. The identification of the predominant factors of competitiveness offers the possibility of developing them holistically by the various related actors that provide the enabling environment for the strengthening of SMEs.

Social capital, knowledge sharing and innovation of small- and medium-sized enterprises in a tourism cluster

PurposeThis study aims to identify the structural relationship among social capital, knowledge sharing, innovation and performance of small- and medium-sized enterprises (SMEs) in a tourism cluster.Design/methodology/approachA total of 199 valid questionnaires are collected from SMEs in the Bomun tourism cluster in South Korea. A structural equation modeling approach is used to test the research hypotheses.FindingsThe findings suggest that social capital constructs, including network density of structural capital, relational capital and cognitive capital, all positively influence knowledge sharing among SMEs in the cluster. This implies that creating social capital is critical to enhancing the competitiveness of SMEs. This study confirms that knowledge sharing positively affects SME performance through innovation.Research limitations/implicationsThis study suggests that social capital, consisting of structural, cognitive and relational capital, facilitates increased knowledge sharing and innovation in a tourism cluster, which in turn enhances SME business performance.Practical/implicationsThis study suggests that tourism cluster policies should focus on how to create a friendly operational climate to build social capital and support SME innovation.Originality/valueThis study contributes to the literature on social capital and innovation as well as the discourse on tourism clusters by addressing knowledge sharing among SMEs in a tourism cluster. It also expands the knowledge sharing and innovation literature by focusing on inter-organizational social networking among SMEs.

Determinants of International Competitiveness of SMEs in a Developing Economy: Evidence from Bangladesh

While small and medium-sized enterprises (SMEs) are playing a vital role in the development process of countries, there is lack of studies examining the issue of international competitiveness of SMEs. Therefore this study fills this gap. The objective of this paper is to identify and explain determinants of international competitiveness of SMEs from developing economies, Bangladesh. Primary data from a sample of 130 SMEs in agriculture and agro-processed goods-oriented industries in Bangladesh were analysed using logistic model to empirically identify the determinants of SMEs international competitiveness. Results suggest that the access to finance, entrepreneurial factors, government policies, technological factors and number of countries to export are significant determinants of exports of SMEs. Findings of this study are of greater importance to the SMEs and policymakers of developing economies like Bangladesh, because on the one side, using findings of this study, managers of SMEs can run their organizations in a manner to compete with their counterparts throughout the world. On the hand concerned policy makers can use these findings to undertake conducive polices to foster export business of SMEs which ultimately will lead to the acceleration of the economic growth of the country.

COHESION POLICY SUPPORT FOR ENTERPRISES

Small and medium-sized enterprises (SME) are the cornerstone of the EU economy, but they face difficulties in accessing financing for their activities, especially investments. The European Commission strives to improve the competitiveness of the European Union and its regions. Therefore it is pursuing cohesion policy, which is now the EU's primary investment policy. Enterprise support has always been among aims of financing by the Structural Funds, but in the period of 2014-2020 it has been highlighted under a separate thematic objective “Enhancing the competitiveness of SME” with the largest funding of all themes. Business support is also included in other thematic regional policy objectives. The purpose of this article is to analyse the financing of business activities, especially for SMEs, within the framework of the EU cohesion policy. After analysing the EU documents and statistics, it can be argued that the opportunities for business support, especially for SMEs, are large and, in effective use, contributes to the mobilization of additional national public and private resources. Therefore this type of enterprises support should contribute to improving the competitiveness European enterprises as well as of the whole European Union and its regions.

Entrepreneurial Competitive Intelligence Between Uppsala Model and Born Global Theories in the Case of North African SMEs

This paper aims to analyze the effects of entrepreneurial competitive intelligence on the process of internationalization of 300 North African small- and medium-sized enterprises (SMEs). For this purpose, we used the most appropriate parametric and non-parametric tests and we focused on the intensity of exports as an indicator of the internationalization process. Our contribution lies in enriching the Uppsala model regarding the relationship between the decision process related to entrepreneurial competitive intelligence and internationalization. Therefore, the originality of this paper lies in the attempt to better understand theoretically and empirically the specificities of the concept related to entrepreneurial competitive intelligence, and its effects on the process of internationalization based on export intensity. Our results show that the international competitiveness of North African SMEs is strongly dependent on the entrepreneurial competitive intelligence approach because it includes essential additional actions which refer not only to a defensive attitude but also and potentially to entrepreneurial orientation. We consider that the results of this paper are very interesting in particular with the integration of entrepreneurial competitive intelligence as an additional factor that affects the internationalization process alongside the classical factors advocated by born global theory and network theory.

The lack of short-term impact of cohesion policy on the competitiveness of SMEs

The purpose of this article is to study the relationship between the competitiveness of small- and medium-sized companies and the public support offered to them in the form of direct subsidies allocated through European structural funds. Using micro-data gathered by the Operational Programme Enterprise and Innovations for Competitiveness (OPEIC) of European structural funds from 2007–2013, this analysis focuses on small- and medium-sized enterprises (SMEs) in the Czech Republic. We employed a counterfactual approach based on Propensity Score Matching (PSM), Nearest Neighbour Estimator and Difference in Difference design with two groups of companies: applicants receiving support and a control group. When using value added and value added per labour cost as the competitiveness indicators for SMEs, we found that Cohesion Policy (CP) support had no statistically significant impact on these indicators. On the other hand, we a found positive impact on personnel expenditure. These results highlight a number of doubts regarding the effectiveness of SME cohesion funding, given that a rise in personnel expenditure, which is not supported by an appropriate increase in added value, is unlikely to be sustainable.

Awareness Of Smes On The Eu Funds Financing Possibilities: The Case Of Split-Dalmatia County

<p class="AbstractText">Micro, small and medium-sized enterprises (SMEs) are considered to be the engine of the European economy. In EU SMEs make up more than 99% of all companies and provide around 75 million jobs. They are a key source of job creation and stimulation of entrepreneurial spirit and innovation and are therefore essential for fostering competitiveness and maintaining employment in the EU. Yet SMEs often have problems in raising funds to finance fixed investments and inventory and working capital. SMEs mostly use internal sources while the most important external sources of SMEs are bank loans, which are not easily accessible. Hence, one of the priorities of the European Commission is stimulating SMEs through EU funds and programs in order to enable SMEs development and finally to contribute to economic growth. SMEs sector also dominates the economic structure of Croatian economy and they have similar financing problems. However, Croatia in period 2014 – 2020 have at disposal a total amount of 10.676 billion of euros from European structural and investment funds, of which 8.397 billion are aimed for cohesion policy objectives and 470 million euros are aimed for the development and competitiveness of SMEs. Besides, EU programs COSME and HORIZON 2020 are intended to provide direct support to SMEs and to create a favorable environment for their development. However, even though the number of successful project applications for small and medium-sized enterprises in the total share of Croatian project applications is relatively high, fund absorption has not reached satisfactory levels. Using the sample of Split-Dalmatia County’s SMEs, this study finds out reasons for low absorption capacity from SMEs point of view: SMEs are interested in funds from European Union, but are not sufficiently familiar with their availability i.e. funds at their disposal, especially programs COSME and HORIZON 2020; SMEs state that they know how to apply for EU funds but considered the procedure as complicated and demanding regarding documentation, and that the needed knowledge and know-how for proposal is beyond their scope; SMEs are not satisfied with the cooperation with state institutions, especially Ministry of Regional Development and EU funds and Croatian Chamber of Economy. We point out four main conclusions: (1) SMEs are not enough aware of EU financing possibilities; (2) additional promotion of EU programs directly to SMEs is required; (3) additional education of SMEs regarding project proposal and documentation is needed and (4) more proactive policy of state institutions and cooperation with local authorities is expected. Finally, greater awareness and professional help might be a key in strengthening the SMEs, whose entrepreneurial spirit and innovation process is a prerequisite for economic growth and development.</p>