SME's - interventions in developing countries
SME's - interventions in developing countries
Developed countries attempted to use more functional interventions which brought their economy closer to a "perfect" or unbiased economy. Developing countries also used functional interventions, but used selective interventions more often. These selective interventions could be perceived as being necessary to correct previous interventions that have skewed their economy.
However, a disconcerting component of these interventions is that none of the interventions are documented nor researched afterwards to measure actual success, in order to allow for extrapolations and future utilisation of the more successful interventions.
Interviewing a senior South African government researcher on business matters, he acknowledged that much the same occurred in South Africa.
One has to query whether these developing countries are really serious about improving the lot of the bulk of citizens, or whether their SME interventions, which normally focus on micro business, are not simply a gesture and a sop to the poor, in order to retain votes at what is in effect a low cost.
Very few developing countries appear to invest in selective interventions to assist the existing formal sector SME's, whose growth is most likely to grow the job base.
A good example of a country who did it correctly appears to be South Korea, who have invested heavily in the formal sector, and compare them to other countries who were "developing" at the same time. I say appears, as I have not formally researched this viewpoint.
Africa in particular needs to wake up and look for positive models elsewhere, even among those countries they like the least, as there are lessons to be learned out there.
Rob Smorfitt
SMEs interventions in developing countries - To learn more about this author, visit Dr. Rob Smorfitt's Website.
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In my literature review, a pattern developed for developing countries separate to developed countries.
Developed countries attempted to use more functional interventions which brought their economy closer to a "perfect" or unbiased economy. Developing countries also used functional interventions, but used selective interventions more often. These selective interventions could be perceived as being necessary to correct previous interventions that have skewed their economy.
However, a disconcerting component of these interventions is that none of the interventions are documented nor researched afterwards to measure actual success, in order to allow for extrapolations and future utilisation of the more successful interventions.
Interviewing a senior South African government researcher on business matters, he acknowledged that much the same occurred in South Africa.
One has to query whether these developing countries are really serious about improving the lot of the bulk of citizens, or whether their SME interventions, which normally focus on micro business, are not simply a gesture and a sop to the poor, in order to retain votes at what is in effect a low cost.
Very few developing countries appear to invest in selective interventions to assist the existing formal sector SME's, whose growth is most likely to grow the job base.
A good example of a country who did it correctly appears to be South Korea, who have invested heavily in the formal sector, and compare them to other countries who were "developing" at the same time. I say appears, as I have not formally researched this viewpoint.
Africa in particular needs to wake up and look for positive models elsewhere, even among those countries they like the least, as there are lessons to be learned out there.
Rob Smorfitt
SMEs interventions in developing countries - To learn more about this author, visit Dr. Rob Smorfitt's Website.
Like this article? Share it with your friends
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 SMEs - my PhD topic and African context
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| A brief overview of my PhD topic and its relevance to this blog. |
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SME's - interventions in developing countries
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| In my literature review, a pattern developed for developing countries separate to developed countries. |
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5.2.1 The MIT-SME section: Support for Growth-oriented Women Entrepreneurs in Tanzania, 2005
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| Prior to 1997, the small business development function rested within a Unit whose
status was equivalent to that of a department and reported to a deputy minister. |
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6.0 Propositions and conclusion: Enterprise solutions to poverty
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| We have argued throughout that the expansion of
enterprise, particularly SMEs, is critical to economic
and poverty reduction. This is hardly a new or
revolutionary argument. It has been advanced by
many others s... |
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SMEs - African confusion with entrepreneurship
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| Africa, but not necessarily only Africa, has blurred the lines between SME and entrepreneurship. Let us investigate the consequences thereof. |
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John PowerJohn Power, founder of Biltmore Franchise Consulting, has extensive experience developing and marketing franchises and business opportunities. He has been in and around franchising for over twenty years. From 1980 through 1990 he conceptualized, organized, and developed the American Video Association. He grew AVA to 2,000 national members, before selling the company it 1990. It was later merged into another home video marketing company. From 2000 to 2005 he worked as a contract marketing and human resources consultant to several local and national companies. In 2005 Mr. Power began working as a franchise development consultant on a full-time basis. Since that time he has helped more than three dozen companies initiate and develop their franchising program. He notes that there are many companies interested in developing a franchise program, and who need his specialized assistance. Mr. Power is a “hands-on” franchise consultant. He said, “I am the ‘nuts and bolts’ person who tends to the details for my clients.” Mr. Power holds a B.S. degree with a major in Marketing. See: www.biltmorefranchise.com You may contact Mr. Power at: jpower@biltmorefranchise.co - Visit John Power's Website |
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Jay Kubassek(Jay's Full Bio: EvanCarmichael.com/jaykubassek) Jay Kubassek is a Canadian born entrepreneur, internet marketing genius, professional speaker, international real estate developer/investor, executive film producer, extreme sport enthusiast and a passionate supporter of several charities worldwide. In 2007, Jay's vision and dedication to help other entrepreneurs and business owners duplicate his marketing success led to the creation of his fourth company CarbonCopyPRO, an internet marketing firm already worth over 15 million dollars that has over 20 employees and contract workers with clients is 12 different countries. Jay resides in NYC with his girlfriend Jamie, three year old son Milo and dog Cooper. As executive producer he recently premiered his first film in the 2008 Cannes Film Festival. As an adventurist he is racing the 2008 Baja 1000 off-road race and is a member of the 2008 U.S. National Elephant Polo Team, The New York Blue who will be representing the US in the 2008 World Championships in Nepal. Visit Jay's Blog: www.JayKubassek.com - Visit Jay Kubassek's Website |
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