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ANALYSIS OF THE INVESTMENT ACTIVITY OF SMEs IN NORTH MACEDONIA

Author

Listed:
  • ANETA RISTESKA JANKULOSKA

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • MIROSLAV GVEROSKI

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • KOSTA SOTIROSKI

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

  • TATJANA SPASESKA

    (UNIVERSITY ST KLIMENT OHRIDSKI - BITOLA)

Abstract

Today, small and medium-sized enterprises are increasingly involved in creating new jobs, creating added value and involving the domestic economy in world trade through their internationalization. Therefore, small and medium enterprises are the key drivers of economic development. There are number of weaknesses and advantages between small and medium enterprises and large enterprises and also similarities and differences in the realization of various business activities. Investments are important for the development of SMEs. Considering this, investment decision are one of the most rewarding business decisions. The investment decision-making process is a complex and dynamic process, which means analysis of all factors (financial, market, technical-technical, location, social), anticipation of different alternatives, perception and evaluation of the effects. The procedure for assessing the justification of investment projects is different for small and medium enterprises from large ones. The differences arise from the opportunities for access of these companies to the sources of financing, from the opportunities and capabilities for planning by the owners of small enterprises, the short-term orientation in the operation and especially from the way of management. Due to all this, the process of investment decision-making in SMEs is usually avoided or it’s reduced only to a superficial analysis of the business environment and the application of investment criteria. Therefore, the main goal of this paper will be to assess and analyze the importance of special determinants of investment activity in small and medium enterprises in North Macedonia. At the end, in the conclusion a lot of considerations, measures and solutions for more serious treatment of investment decision-making in SMEs will be proposed.

Suggested Citation

  • Aneta Risteska Jankuloska & Miroslav Gveroski & Kosta Sotiroski & Tatjana Spaseska, 2022. "ANALYSIS OF THE INVESTMENT ACTIVITY OF SMEs IN NORTH MACEDONIA," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 3, pages 4-15, June.
    • Handle: RePEc:cbu:jrnlec:y:2022:v:3:p:4-15
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    References listed on IDEAS

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    Keywords

    SMEs; investment decision-making;

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