ASSESSMENT OF THE IMPACT OF SMALL AND MEDIUM-SIZED BUSINESSES ON THE DEVELOPMENT OF THE NATIONAL ECONOMY (FOREIGN EXPERIENCE)

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Viktoriіa DENYSENKO
Viktor DENYSENKO
Andriі ZAPRYAGAYLO

Abstract

Introduction. Small and medium business is an independent sector of the market economy, which has a significant impact on socio-economic development both at the national and regional levels. Small and medium business creates the prerequisites for accelerated economic growth, acts as an important mechanism for diversifying the real sector of the economy, as well as a tool in terms of solving existing social problems of society. At the same time, the policy pursued by state authorities and administration in relation to small and medium-sized businesses is often non-systemic in nature and is characterized by an insufficiently high degree of efficiency. One of the reasons for this situation is that the influence of small and medium-sized businesses in the regional economy is not taken into account when formulating policies. In this regard, the purpose of this study is to determine the role of small and medium-sized businesses in the economic development of countries


Purpose. The purpose of the article is to determine the role and assess the impact of the small and medium-sized businesses on the development of the national economy.


Methods. The research used the method of statistical processing of information (for grouping and analysis of statistical information) and the mathematical apparatus of the theory of fuzzy sets (for determining the integral indicator).


Results. The article analyzes the influence of small and medium-sized businesses on the development of the domestic economy in comparison with the countries of the European Union. It has been established that during the studied period, there is no business structuring in Ukraine, which would be set on the unification of production and capital, but on the contrary, there are tendencies towards the formation of small production forms. It has been found that the influence of small and medium-sized businesses on the development of world economies is quite significant. Thus, the share of small and medium-sized businesses in the volume of sold products reaches 50-70%, in added value - also at the level of 50-70%. In addition, the number of employed workers in the SME sector is approximately 63-78% of the economically active working population.


Originality. The author's methodology for assessing the contribution of small and medium-sized businesses to the economic development of the country is developed, the results obtained has been interpreted, on the basis of which it has been concluded that Ukraine has a high level of contribution of small and medium-sized businesses to the economy.


Conclusions. It has been established that Ukraine lags far behind developed countries in terms of the influence of small and medium-sized businesses on the country's economy, compared to other countries. At the same time, small and medium-sized business entities play an extremely important role in ensuring the economic development of the regions of Ukraine, thus contributing to the increase of the country's financial and economic potential.

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References

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