Entrepreneurship and Small Business: SME Contributions Analysis 2B

This essay examines the significant role and contributions of Small and Medium Enterprises (SMEs) to the economy at various levels, including local, regional, national, and international. SMEs are identified as crucial for inclusive globalization and development, serving as a primary source of job creation and contributing substantially to international trade value. The essay highlights that SMEs in the UK account for a significant portion of private sector employment and turnover, with a notable engagement in innovative activities. They play a vital role in environmental sustainability efforts and help diminish black markets at the international level. Despite facing financial challenges, SMEs are recognized as essential for economic development, supported by a sophisticated government framework for performance tracking and a political consensus acknowledging their importance. The essay concludes by emphasizing the need for a supportive financial environment and online resources to foster opportunities for small business owners.

Entrepreneurship
and Small Business
Management
2 B

Table of contents
• Introduction:
• Role of Small firms
• Contributions in local, regional, national regional and international
levels
• Conclusion
• references

Introduction
• SME’s are crucial for providing more inclusive globalisation and
development
• SME’s make various contributions to the economy of UK at local,
regional, national regional as well as International levels
• SME’s are the main source for job in the business sector
• SME account for higher share of value added to the International
trade
• SME;s employ around 24.3 million individuals in the UK

Role of Small firms
• SME’s had a combined turnover of £1.6 trillion at the start of 2014 in the UK which means a
higher turnover
• SME’s provide employment to 60% of all the private sectors
• Around 37% SME’s get engaged in the innovative activities and there has been 47% increase
in the SME’s in between the years 2009 to 2013
• Small firms also have a major role in the manufacturing sector of the UK
• SME’s in the UK have a mutually beneficial and a symbiotic relationship
• SME’s are highly contributing to the development of innovation

Contributions in local, regional, national
regional and international levels
• The contribution of SME’s at various levels has increased in recent decades
• SME’s are centered to the efforts for achieving the environmental
sustainability
• At International level the SME’s are contributing in diminishing the black
markets
• The SME’s have registered 86.8 million jobs which shows it major
contributions to the regional level
• At National regional level 99.7% of the 5.68 million works were the SME’s

Conclusion
• SME’s are facing higher problems when it comes to finance
• The UK government has developed an sophisticated framework for
tracking the performance of the SME’s at various levels
• The political consensus in the UK also tell that the SME’s are an
crucial part of developing the economy
• The SME’s are needed to be operated in an supportive financial
environment
• Online support assists in developing much more opportunities for the
small business owners

References
• Baldock, R. and North, D., 2015. The role of UK government hybrid
venture capital funds in addressing the finance gap facing innovative
SMEs in the post-2007 financial crisis era. Handbook on
Entrepreneurial Finance, pp.125-146.
• Goyette, P., Boucher, G., Mallon, D., Ellinghaus, E., Jostins, L.,
Huang, H., Ripke, S., Gusareva, E.S., Annese, V., Hauser, S.L. and
Oksenberg, J.R., 2015. High-density mapping of the MHC identifies a
shared role for HLA-DRB1* 01: 03 in inflammatory bowel diseases
and heterozygous advantage in ulcerative colitis. Nature genetics, Vol.
47(2), p.172.