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Development Of Entrepreneurship In Bh: Prospects And Limitations, With Special Reference To Sme Sector

Author

Listed:
  • Danijela Martinovic

    (School of Economics and Business, Sarajevo)

  • Mira Sunjic-Beus

    (School of Economics and Business, Sarajevo)

  • Jasmina Karisik

    (School of Economics and Business, Sarajevo)

Abstract

Small and medium enterprises (SME) are one of the key factors in the development of national economies. However, they had been neglected in the former state. Previous economic growth was based on a system of networked large companies, i.e. planned development of complementary industries. War and the disintegration of Yugoslavia have disrupted this concept and sparked a series of dilemmas regarding the course of development of national economy. There were some ideas to restructure large businesses. But, with either destroyed or technologically obsolete businesses, disappearance of development institutes, lack of skilled workforce, loss of market shares, it is obvious that the development and strengthening of SME is necessary. Strengthening and networking of small companies should result in the emergence of large and heavy manufacturing systems, similar to the pre-war ones. The aim of this paper is to investigate how the BH so far succeeded in this plan and how consistent BH economic policies were. Also, the work will give an overview of legislation, business practices and potential clustering and internationalization of small and medium enterprises.

Suggested Citation

  • Danijela Martinovic & Mira Sunjic-Beus & Jasmina Karisik, 2012. "Development Of Entrepreneurship In Bh: Prospects And Limitations, With Special Reference To Sme Sector," Economic Thought and Practice, Department of Economics and Business, University of Dubrovnik, vol. 21(1), pages 339-362, june.
  • Handle: RePEc:avo:emipdu:v:21:y:2012:i:1:p:339-362
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    More about this item

    Keywords

    SMEs; clustering; internationalization; Bosnia and Herzegovina;
    All these keywords.

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

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