logo

Small and Medium Enterprise Assignment (SME)

9 Pages2153 Words116 Views
   

Added on  2020-06-06

Small and Medium Enterprise Assignment (SME)

   Added on 2020-06-06

ShareRelated Documents
The role small enterprisesplay in the economy of acountry
Small and Medium Enterprise Assignment (SME)_1
Table of ContentsIntroduction ..........................................................................................................................................3Critical issue in the enterprise development ........................................................................................3Role of SME in the economic development ..........................................................................................5Recommendation for the minimise issue .............................................................................................7Conclusion ............................................................................................................................................7References ............................................................................................................................................8
Small and Medium Enterprise Assignment (SME)_2
Introduction Small and medium enterprisesare plays vital role in the growth of economy. Itgenerate new jobs, create demand, increase trade activities between nation and this directlysupport the development of economy in countryeconomic development of country . Forinstance, there are various nations specially developing country like India, China, Indonesiaetc. where SMEs contribute to a large scale in different aspects. Country like, UK which isone of the 7th largest economy in the world in terms of GDP. For instance, at present time UKnomination GDP total value is more than $2.5 trillion which is very significant. SMEs havinga large influence ofon the national economy of UK. But, in the recent time there is evidencedof a slowdown in the economic growth which is one of the major fear for the government ofUK (Khan and Khalique, 2014). Therefore, they are planning to spend a large amount ofcapital on the SMEs and for theirits development. Because, it supports national economy inat wider context which is very crucial for a country's growth and development. Critical issue in the enterprise development There are is various issues which are faced by the entrepreneurs and these are relatedwith the legal, environmental, technological, economic aspects etc. Therefore, it is theresponsibility of government bodies to understand such these issuesresponsibly andovercome such aspects which can help in providing a consistent growth toin businesses inthe long run. These issues can be:Legal compliances: This is one of the major challenge for SMEs and its development.Each and every country follows different legislation in nation and create a key issue for them(Nkosi, 2013). It will take time and money which is not good for a start-up businessesbusiness and its future growth. As, UK is a part of EU which is also have its own governingpolicies regarding the legislative issues. The This is role of state government is to providedifferent facilities, where entrepreneurs can register their business at one place and also getthe certificate. Additionally, there are various start-ups which are related with the innovationand technology, they need to get the copy right or any other legal right which can produce thecommercial interest for the company growth. But it is also a time consuming process whichmay leads to lose their businessslow down the growth rate of business. Financial issues: This is another major issue where they need to arrange requiredfinancial resources from various source. For instance, a start-up need a large amount of
Small and Medium Enterprise Assignment (SME)_3

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
The Role of Small Enterprises in the Economy
|4
|866
|36

Impact of Small and Micro Business on the Economy of UK
|12
|768
|81

Entrepreneurship and Small Business Management Concept
|11
|1845
|28

Entrepreneurship and Small Business Management - SME Assignment Sample
|14
|4611
|85

Importance of SME in Developing UK Economy
|11
|2159
|52

Socio Economic Growth in UK - PDF
|16
|890
|23