IDEAS home Printed from https://ideas.repec.org/a/jfr/ijba11/v2y2011i4p25-32.html
   My bibliography  Save this article

The Role of Industrial Incentives in Development of Small and Medium Industries

Author

Listed:
  • Afshin Rahnama
  • Seyyed Javad Mousavian
  • Dariush Eshghi
  • Abbas Alaei

Abstract

Small and medium industries have had a significant impact on creation of new employment opportunities in recent years. In other words, in today¡¯s modern world, small and medium industries have a significant role in variables like economic growth, competitiveness, and resolution of the ubiquitous unemployment crisis. Even though large-scale industries are still important in economic policy-making due to their economy of scale, the effect of massive production, experience, and organization, small and medium industries have some advantages including transportation, market size, regulations, choice effectiveness, and control. Accordingly, these industries have become the first choice for the production of most goods. This study investigated the role of industrial incentives in the development of small and medium industries in East Azerbaijan province. Based on the review of articles, texts, relevant sources, and comments from experts, relevant indicators were defined for each component of industrial incentives. Based on these indicators, a questionnaire was developed with 30 questions. After testing the validity and reliability of the questionnaire, it was applied to statistical samples using stratified random sampling. Then the questionnaires were collected and the obtained information was analyzed using descriptive statistics as well as inferential statistics (Spearman correlation test r and step by step Regression). The results show that there is a statistically significant relationship between the variables in this study. and obtained Results of regression Analysis shows that across 4 indicators Industrial Incentives, 2 indicators of it, that is, Financial and Customal Incentives were appropriate predicators for Development of Small and Medium Industries.

Suggested Citation

  • Afshin Rahnama & Seyyed Javad Mousavian & Dariush Eshghi & Abbas Alaei, 2011. "The Role of Industrial Incentives in Development of Small and Medium Industries," International Journal of Business Administration, International Journal of Business Administration, Sciedu Press, vol. 2(4), pages 25-32, November.
    • Handle: RePEc:jfr:ijba11:v:2:y:2011:i:4:p:25-32
    as

    Download full text from publisher

    File URL: http://www.sciedu.ca/journal/index.php/ijba/article/view/554/262
    Download Restriction: no
    File URL: http://www.sciedu.ca/journal/index.php/ijba/article/view/554
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Tether, B S & Massini, S, 1998. "Employment Creation in Small Technological and Design Innovators in the U.K. during the 1980s," Small Business Economics, Springer, vol. 11(4), pages 353-370, December.
    2. Geroski, P. A., 1995. "What do we know about entry?," International Journal of Industrial Organization, Elsevier, vol. 13(4), pages 421-440, December.
    3. Audretsch, David B. & Santarelli, Enrico & Vivarelli, Marco, 1999. "Start-up size and industrial dynamics: some evidence from Italian manufacturing," International Journal of Industrial Organization, Elsevier, vol. 17(7), pages 965-983, October.
    4. Gort, Michael & Klepper, Steven, 1982. "Time Paths in the Diffusion of Product Innovations," Economic Journal, Royal Economic Society, vol. 92(367), pages 630-653, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Guidi, Francesco & Solomon, Edna & Trushin, Eshref & Ugur, Mehmet, 2015. "Inverted-U relationship between innovation and survival: Evidence from firm-level UK data," EconStor Preprints 110896, ZBW - Leibniz Information Centre for Economics.
    2. Harald Strotmann, 2007. "Entrepreneurial Survival," Small Business Economics, Springer, vol. 28(1), pages 87-104, January.
    3. Stevenson, Marcie & Artz, Georgeanne, 2017. "Improving rural business development, one firm at a time: A look at the effects of the USDA’s Value-Added Producer Grant on firm survival," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252785, Southern Agricultural Economics Association.
    4. Mohammad Ali Jamali & Nor Ghani Md Nor, 2012. "Growth of Firms in Manufacturing Sector," Global Business Review, International Management Institute, vol. 13(1), pages 51-68, February.
    5. Lee, Chang-Yang, 2010. "A theory of firm growth: Learning capability, knowledge threshold, and patterns of growth," Research Policy, Elsevier, vol. 39(2), pages 278-289, March.
    6. Alcina Nunes & Elsa de Morais Sarmento, 2010. "Business Survival in Portuguese Regions," GEMF Working Papers 2010-22, GEMF, Faculty of Economics, University of Coimbra.
    7. Roberta Piergiovanni, 2010. "Gibrat's Law in the “Third Italy”: Firm Growth in the Veneto Region," Growth and Change, Wiley Blackwell, vol. 41(1), pages 28-58, March.
    8. Dimara, Efthalia & Skuras, Dimitris & Tsekouras, Kostas & Tzelepis, Dimitris, 2008. "Productive efficiency and firm exit in the food sector," Food Policy, Elsevier, vol. 33(2), pages 185-196, April.
    9. Cefis, Elena & Marsili, Orietta, 2006. "Survivor: The role of innovation in firms' survival," Research Policy, Elsevier, vol. 35(5), pages 626-641, June.
    10. Harald Strotmann, 2002. "Determinanten des Überlebens von Neugründungen in der badenwürttembergischen Industrie. Eine empirische Survivalanalyse mit amtlichen Betriebsdaten," IAW Discussion Papers 06, Institut für Angewandte Wirtschaftsforschung (IAW).
    11. Helena Persson, 2004. "The Survival and Growth of New Establishments in Sweden, 1987-1995," Small Business Economics, Springer, vol. 23(5), pages 423-440, October.
    12. Daniel Fackler & Claus Schnabel & Joachim Wagner, 2013. "Establishment exits in Germany: the role of size and age," Small Business Economics, Springer, vol. 41(3), pages 683-700, October.
    13. Iain M. Cockburn & Megan J. MacGarvie, 2011. "Entry and Patenting in the Software Industry," Management Science, INFORMS, vol. 57(5), pages 915-933, May.
    14. Raquel Ortega-Argilés & Rosina Moreno, 2005. "Firm Competitive Strategies And The Likelihood Of Survival - The Spanish Case," ERSA conference papers ersa05p347, European Regional Science Association.
    15. Agustí Segarra & Maria Callejón, 2002. "New Firms' Survival and Market Turbulence: New Evidence from Spain," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 20(1), pages 1-14, February.
    16. Viktoria Kocsis & Victoria Shestalova & Henry van der Wiel & Nick Zubanov & Ruslan Lukach & Bert Minne, 2009. "Relation entry, exit and productivity: an overview of recent theoretical and empirical literature," CPB Document 180.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    17. Daunfeldt, Sven-Olov & Elert, Niklas & Lang, Ã…sa, 2012. "Does Gibrat's law hold for retailing? Evidence from Sweden," Journal of Retailing and Consumer Services, Elsevier, vol. 19(5), pages 464-469.
    18. Francesco Quatraro & Marco Vivarelli, 2015. "Drivers of Entrepreneurship and Post-entry Performance of Newborn Firms in Developing Countries," The World Bank Research Observer, World Bank, vol. 30(2), pages 277-305.
    19. Ghosal, Vivek, 2007. "Small is Beautiful but Size Matters: The Asymmetric Impact of Uncertainty and Sunk Costs on Small and Large Businesses," MPRA Paper 5461, University Library of Munich, Germany.
    20. Josep-Maria Arauzo-Carod & Agustí Segarra-Blasco, 2005. "The Determinants of Entry are not Independent of Start-up Size: Some Evidence from Spanish Manufacturing," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 27(2), pages 147-165, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jfr:ijba11:v:2:y:2011:i:4:p:25-32. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jenny Zhang (email available below). General contact details of provider: http://ijba.sciedupress.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.