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SMEs: Key drivers of green and inclusive growth

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  • Shashwat Koirala

Abstract

Small and medium-sized enterprises (“SMEs”) are important stakeholders for both environmental and economic policymaking. Among OECD countries, they represent roughly 99.7% of all enterprises and 60% of total employment. Simultaneously, while their individual environmental footprint is small, on aggregate, SMEs contribute up to 70% of industrial pollution in Europe. Thus, they have tremendous potential as drivers of green and inclusive growth. Through a comprehensive literature review, this issue paper assesses the trade-offs and synergies between SMEs’ ability to deliver green growth – through greening processes like eco-innovation and adoption of green measures - and their ability to contribute to inclusive growth – through job creation and inclusive business models. This issue paper also reviews relevant policy measures that can help SMEs navigate the opportunities and challenges in delivering green and inclusive growth.

Suggested Citation

  • Shashwat Koirala, 2019. "SMEs: Key drivers of green and inclusive growth," OECD Green Growth Papers 2019/03, OECD Publishing.
    • Handle: RePEc:oec:envddd:2019/03-en
    DOI: 10.1787/8a51fc0c-en
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    Cited by:

    1. Ernestina Rubio-Mozos & Fernando E. García-Muiña & Laura Fuentes-Moraleda, 2020. "Sustainable Strategic Management Model for Hotel Companies: A Multi-Stakeholder Proposal to “Walk the Talk” toward SDGs," Sustainability, MDPI, vol. 12(20), pages 1-25, October.
    2. Racha Harakati & Ines Ghazouani & Zaineb Hlioui, 2024. "CEO gender and climate change commitment: The mediating effect of environmental regulation perception," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(5), pages 4630-4650, September.
    3. Mariarosaria Agostino & Sabrina Ruberto, 2024. "Credit rationing and SMEs’ environmental performance in transition and developing countries," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(7), pages 16627-16656, July.
    4. Christopher Coghlan & JoAnne Labrecque & Yu Ma & Laurette Dubé, 2020. "A Biological Adaptability Approach to Innovation for Small and Medium Enterprises (SMEs): Strategic Insights from and for Health-Promoting Agri-Food Innovation," Sustainability, MDPI, vol. 12(10), pages 1-21, May.
    5. Isa Cakir & Philipp Aerni & Manfred Max Bergman & Benjamin Cakir, 2023. "esg2go: A Method to Reduce Bias, Improve Coherence, and Increase Practicality of ESG Rating and Reporting," Sustainability, MDPI, vol. 15(24), pages 1-20, December.
    6. Milena Angelova, 2023. "Factors for Boosting the Green Transition of the European Micro, Small and Medium-Sized Enterprises," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 2, pages 59-77.
    7. Accetturo, Antonio & Barboni, Giorgia & Cascarano, Michele & Garcia-Appendini, Emilia & Tomasi, Marco, 2022. "Credit supply and green Investments," CAGE Online Working Paper Series 615, Competitive Advantage in the Global Economy (CAGE).
    8. Ernestina Rubio-Mozos & Fernando E. García-Muiña & Laura Fuentes-Moraleda, 2020. "Application of Ecosophical Perspective to Advance to the SDGs: Theoretical Approach on Values for Sustainability in a 4S Hotel Company," Sustainability, MDPI, vol. 12(18), pages 1-24, September.
    9. Sandri, Orana & Holdsworth, Sarah & Wong, Peter S.P. & Hayes, Jan, 2024. "Upskilling plumber gasfitters for hydrogen: An empirical study using the Theory of Planned Behavior," Renewable Energy, Elsevier, vol. 221(C).
    10. Olga Rataj & Serdar Türkeli, 2024. "Success Factors for Scaling Up and Raising Investment by Circular Entrepreneurs in Emerging Markets and Developing Economies," Circular Economy and Sustainability, Springer, vol. 4(2), pages 1021-1046, June.
    11. Zaineb Hlioui & Mohamed Gabsi & Abdelwahed Omri, 2022. "Informal Competition Effect on SMEs’ Innovation: Do Credit Constraints Matter? Evidence from Eastern European Countries," Sustainability, MDPI, vol. 14(21), pages 1-23, October.
    12. Marcelo Enrique Conti & Massimo Battaglia & Mario Calabrese & Cristina Simone, 2021. "Fostering Sustainable Cities through Resilience Thinking: The Role of Nature-Based Solutions (NBSs): Lessons Learned from Two Italian Case Studies," Sustainability, MDPI, vol. 13(22), pages 1-20, November.
    13. Adelaide Martins & Manuel Castelo Branco & Pedro Novo Melo & Carolina Machado, 2022. "Sustainability in Small and Medium-Sized Enterprises: A Systematic Literature Review and Future Research Agenda," Sustainability, MDPI, vol. 14(11), pages 1-26, May.
    14. Sehresh Abdullah & Sobia Irshad & Shahzad Ali & Sajida Parveen & Saif Ur Rahman, 2024. "Synergetic Impact of Institutional Quality, Foreign Direct Investment, Urban Population Growth and Trade on CO2 Emission: Selective Countries of South Asian," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(2), pages 767-774.
    15. Paula Gomes dos Santos & Fábio Albuquerque & Maria Albertina Barreiro Rodrigues & Ana Isabel Morais, 2022. "The Views of Stakeholders on Mandatory or Voluntary Use of a Simplified Standard on Non-Financial Information for SMEs in the European Union," Sustainability, MDPI, vol. 14(5), pages 1-22, February.
    16. Agostino, Mariarosaria & Giunta, Anna & Ruberto, Sabrina & Scalera, Domenico, 2023. "Global value chains and energy-related sustainable practices. Evidence from Enterprise Survey data," Energy Economics, Elsevier, vol. 127(PA).

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