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Problems and Environment of Small Businesses in the Czech Republic

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  • Benacek, Vladimir
  • Zemplinerova, Alena

Abstract

The impressive and spontaneous build-up of the private small and medium-sized enterprises (SMEs) in the Czech Republic in 1990-93 coincided with the similarly dramatic changes in the public administration and in the whole environment for decision-making. The resulting problems of SMEs in the Czech Republic seem to be common to all economies in transition. A lot of the problems are caused by the macroeconomic policy for which this sector is not the most important part of the national economy. The paper shows some conflicts between macroeconomic anti-inflationary (monetary and fiscal) policies, and interests of small businesses. The authors stress the importance of SMEs during the period of transition. Informal aspects of the functioning of small firms are discussed, especially their relation with banks and public administration. The paper offers some empirical evidence and available statistics on SMEs developments during 1990-94 focusing particularly on manufacturing. Copyright 1995 by Kluwer Academic Publishers

Suggested Citation

  • Benacek, Vladimir & Zemplinerova, Alena, 1995. "Problems and Environment of Small Businesses in the Czech Republic," Small Business Economics, Springer, vol. 7(6), pages 437-450, December.
    • Handle: RePEc:kap:sbusec:v:7:y:1995:i:6:p:437-50
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    Cited by:

    1. Alena Zemplinerova, 2012. "Effects of foreign direct investment: the case of the Czech economy," CERGE-EI Books, The Center for Economic Research and Graduate Education - Economics Institute, Prague, edition 1, number b08, May.
    2. Akyuz, Kadri Cemil & Akyuz, Ilker & SerIn, Hasan & Cindik, Hicabi, 2006. "The financing preferences and capital structure of micro, small and medium sized firm owners in forest products industry in Turkey," Forest Policy and Economics, Elsevier, vol. 8(3), pages 301-311, April.
    3. Maya Grigolia & Lasha Labadze & Pavol Minarik & Alena Zemplinerova & Marek Vokoun, 2015. "Transfer of Know-how for SMEs in Georgia, Moldova and Ukraine. White Paper: Georgia," CASE Network Reports 0123, CASE-Center for Social and Economic Research.

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