The paper "Challenges Faced by Small and Medium Enterprises in Developed Countries" is an engrossing example of coursework on business. Small and medium enterprises are the backbone of any economy. SME’ s are an essential key element of this dynamic world. Small and medium enterprises are one of the foremost and leading sources for the development of economic growth. These are the best source to bring employment to the country. Small and medium enterprises are participating a lot in international trade. Such businesses are more focused on exporting their product and service at the international level that’ s what enhancing the economic growth of the country as well.
Small and medium enterprises of developed countries are more exposed to risk as compare to developing countries. SME’ s are the fastest emerging business segment in many countries. The exporters of small enterprises are expanding faster at the international level and hence contributing a lot to the country’ s economic health. A developed country like the United Kingdom has around 90% of its investment in small and medium enterprises according to a United Kingdom statistical report. So they are more concerned about promoting such businesses.
This study will illustrate the challenges faced by the small and medium enterprises in developed countries especially with respect to the United Kingdom and solutions to alleviate them. 1.1 Introduction: Small and medium enterprises are the backbone of any economy. SME’ s are an essential key element of this dynamic world. Small and medium enterprises are one of the foremost and leading sources for the development of economic growth. These enterprises are the best source to bring employment to the country According to the statistical report of small enterprises, it is acknowledged that around 600,000 new enterprises enter the business world yearly, 10% of them fail within two years of their operations.
This failure is due to many issues, for instance, finances are required from time to time for bearing expenses and running operations of the business.
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