Naslov
Unfavorable financial performance of SMEs in the Osijek-Baranja county: Expectation gap

Autori
Borozan, Đula

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
Advancing Entrepreneurship and Small Business - the latest research, policy and best practice world-wide / - Belfast, 2003

Skup
48th World Conference "Advancing Entrepreneurship and Small Business"

Mjesto i datum
Belfast, Ujedinjeno Kraljevstvo, 15.06.2003. - 18.06.2003

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
Osijek-Baranja county; SMEs; financial performance; unemployment

Sažetak
Most enterprises when defined by employee numbers can be described as small or medium-sized. The share of small and medium-sized enterprises (SMEs) in the total active enterprises amounts to approximately 99% in the Osijek-Baranja (O-B) county. Theoretically defined and empirically confirmed expectations about the importance of SMEs for new job creation, i.e. for unemployment reduction, improvement of business performance and acceleration of economic growth have not been completely achieved in the O&#8211 ; B county, especially concerning new job creation and contribution to better business performance. Unemployment has exhibited increasing tendency since the beginning of the 1990s. Furthermore, financial performance measured by profit indicators is extremely unfavorable ; losses are accumulated from year to year. This is mostly due to unfavorable financial performance of small enterprises, which generated the largest financial loss. Regarding the main aim of this paper to evaluate the financial performance of SMEs in the O-B county and to identify the main obstacles experienced by SMEs, financial performance is in the focus of this paper. Lack of adequate knowledge (above all management, marketing and entrepreneurship knowledge), inappropriate institutional and entrepreneurial infrastructure as well as discouraging entrepreneurial atmosphere (value system and social norms inadequate to entrepreneurship) are pointed out as the main obstacles. They are also commonly noted in the literature as the main obstacles for better business operation of SMEs. However, the unfavorability of the O-B county performance indicates the depth of the problem. Some general recommendations as regards the improvement of the county's business performance are discussed as well.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA