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SME Policy Index: Eastern Partner Countries 2012

Progress in the Implementation of the Small Business Act for Europe

image of SME Policy Index: Eastern Partner Countries 2012
This ssessment of SME policy frameworks in eastern partnership countries helps support SME policy development in the eastern partnership countries through identification of strong and weak points in SME policy elaboration and implementation.

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Internationalisation of SMEs (Dimension 10)

Encourage and support SMEs to benefit from the growth of markets (Small Business Act Principle 10)

Enterprises are under increasing pressure from globalisation and the constraints of domestic markets, and the internationalisation of their activities is crucial so as to benefit from the growth of markets. Internationalisation can bring many advantages to SMEs, such as increased productivity by being exposed to competition outside the country, better management practices and a larger market for their goods, as well as creating a wider business network. SMEs can also grow and achieve economies of scale which cannot be reached when operating in the domestic market alone. Nevertheless, only a small percentage of SMEs are involved in exporting activities relative to their share in local and regional economies. To help SMEs tap into external markets, governments should provide support to encourage them to export. This chapter focuses on government activities in promoting exports by SMEs.

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