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| Small and medium sized firms and entrepreneurial ventures |
Small and medium sized firms and entrepreneurial ventures are at the heart of our economy. In most countries, they are close to 90% of firms in number and generate close to 50% of the economic value and employment. More importantly they are important drivers of innovation for our society. While the popular and business press seems to focus overwhelmingly on large companies (often painting a negative image of business through scandals and the like) thousands upon thousands of unsung firms are working with great determination each day to bring their expertise to market and create value for others.
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Unfortunately, these companies often lack the resources and sophistication of their multinational counterparts. Too often they are unable to take advantage of the many opportunities that lie before them or venture outside of their local country. Too often they are so involved with the day to day tactics that face them that they don’t have the time to focus on strategic issues. For many, success is measured by survival.
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Yet, today these companies face a global opportunity gap that is theirs to seize and turn to their advantage.
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“Smaller firms, as a group, form the foundation and the bulk of Western societies’ economies, be it in term of GDP, employment, or innovation. Yet they account for a minor portion of exports and FDI, showing a low level of international activities with comparison to multinationals. The recent globalization of the world economy puts considerable pressure on SMEs to act globally, with usually very limited resources available.”
- Wang Tao |
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