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Measures of local support to the entrepreneurship development

Vol. 15, Iss. 7, JULY 2019

Received: 29 January 2019

Received in revised form: 18 February 2019

Accepted: 6 June 2019

Available online: 15 July 2019

Subject Heading: SUSTAINABLE DEVELOPMENT OF ECONOMY

JEL Classification: D20, D21, D30, R11, R58

Pages: 1238–1249

https://doi.org/10.24891/ni.15.7.1238

Bun'kovskii D.V. East Siberian Institute of Ministry of Internal Affairs of Russian Federation, Irkutsk, Russian Federation
bdv611@yandex.ru

ORCID id: not available

Subject Governmental regulation (support) of business mostly determines the economic development of a country and its regions. Sound local policy considering all aspects of SME is a cornerstone of the quality of production and business nationwide. Appropriate support of SME should spur its growth and make its macroeconomically influential. SME enhancement will increase the employment rate and efficacy of market mechanisms preventing the monopolism.
Objectives The study identifies and systematizes what measures may possibly be undertaken to support the SME development locally.
Methods The study relies upon the systems and comprehensive approaches to reviewing mechanisms for supporting SME locally, and classification, observation, grouping, comparison and generalization.
Results I found and systematized measures for supporting SME locally and described positive effects of such measures and implementation mechanisms. The article articulates principles for choosing appropriate SME support measures at the local level.
Conclusions and Relevance The following principles may underlie the effective support to SME development at the local level. Local authorities should not divert business initiatives, render those services which businesses are incapable of delivering themselves, consider the priority of social services contributing to goals and local socio-economic development generating the highest multiplicative economic effect.

Keywords: entrepreneurship, support measures, local self-government, management tools, enterprise

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