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The Background of the SME - SMP Relationship

Author

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  • Mihu Stefan

    (Spiru Haret University of Constanta)

Abstract

In understanding the role of Small and Medium Practices (SMP-s) in providing business consultancy to the Small and Medium Enterprises (SME-s), it is important to establish the general background against which this important role is played. The SME-s have nowadays a critical importance for most of the developed and developing economies. For instance, in the European Union, the SME-s contribute over 99% of the overall number of enterprises and 100 millions of working places, representing 67.1% of the working places in the private sector. The existing theories and evidence demonstrate that the SME- owners and managers outsource the consultancy and support services, mainly due to lacks in their corporate resources. The prerequisite that the SME-s have certain competencies in order to survive in a permanently changing environment and purchase resources for consultancy and support is the main approach for their surviving and development. This shortage of resources and the ever-changing environment the SME-s must cope with create the role of SMP-s as main business consultancy. The type, nature and future of this role are an issue still open to debate.

Suggested Citation

  • Mihu Stefan, 2012. "The Background of the SME - SMP Relationship," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 812-817, Decembre.
  • Handle: RePEc:ovi:oviste:v:xii:y:2012:i:2:p:812-817
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    More about this item

    Keywords

    professional accountants; accounting market; consultancy services; conformity services; accounting regulations.;
    All these keywords.

    JEL classification:

    • E - Macroeconomics and Monetary Economics

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