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Government advice networks for SMEs: an assessment of the influence of local context on Business Link use, impact and satisfaction

Author

Listed:
  • R. J. Bennett
  • P. J. A. Robson
  • W. J. A. Bratton

Abstract

Business Link in Britain is one of the main recent government initiatives to support SMEs in the EU. The paper uses a 1997 survey of SMEs to determine how Business Link use, impact and satisfaction are influenced by firm characteristics, local partnership characteristics, local geographical context, service intensity and other explanatory variables. The paper presents econometric estimates based on logit and ordered logit models. A key finding of the paper is to demonstrate that local context is not very significant to service use, impact or satisfaction, but local Business Link management and adviser performance are important influences on the impact and satisfaction. Major differences in the way SMEs use government-backed services are also found. There are high volumes of use of 'gateway' information services producing only low impact, and low volumes but high impacts and satisfaction with intensive advice services governed by contracts between the clients and the adviser. Implications for the Small Business Service, launched in April 2000, are drawn.

Suggested Citation

  • R. J. Bennett & P. J. A. Robson & W. J. A. Bratton, 2001. "Government advice networks for SMEs: an assessment of the influence of local context on Business Link use, impact and satisfaction," Applied Economics, Taylor & Francis Journals, vol. 33(7), pages 871-885.
    • Handle: RePEc:taf:applec:v:33:y:2001:i:7:p:871-885
    DOI: 10.1080/00036840121626
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    Cited by:

    1. Vivas-Augier, Carlos & Barge-Gil, Andrés, 2012. "Impact on firms of the use of knowledge providers: a systematic review of the literature," MPRA Paper 41042, University Library of Munich, Germany.
    2. Andrew Atherton, 2006. "Should Government be Stimulating Start-ups? An Assessment of the Scope for Public Intervention in New Venture Formation," Environment and Planning C, , vol. 24(1), pages 21-36, February.
    3. Robert Bennett, 2008. "SME Policy Support in Britain since the 1990s: What have We Learnt?," Environment and Planning C, , vol. 26(2), pages 375-397, April.
    4. Lew Perren & Peter L. Jennings, 2005. "Government Discourses on Entrepreneurship: Issues of Legitimization, Subjugation, and Power," Entrepreneurship Theory and Practice, , vol. 29(2), pages 173-184, March.
    5. Veronica, Scuotto & Manlio, Del Giudice & Shlomo, Tarba & Antonio, Messeni Petruzzelli & Victor, Chang, 2020. "International social SMEs in emerging countries: Do governments support their international growth?," Journal of World Business, Elsevier, vol. 55(5).
    6. Celeste Amorim, 2003. "Business services within network for innovation," Working Papers de Economia (Economics Working Papers) 08, Departamento de Economia, Gestão e Engenharia Industrial, Universidade de Aveiro.
    7. Kristine M. Kuhn & Tera L. Galloway, 2015. "With a Little Help from My Competitors: Peer Networking among Artisan Entrepreneurs," Entrepreneurship Theory and Practice, , vol. 39(3), pages 571-600, May.
    8. Capelleras, Joan-Lluis & Mole, Kevin F., 2012. "How ‘buzz’ reduces uncertainty for new firm founders," MPRA Paper 38170, University Library of Munich, Germany.
    9. Carlos Vivas & Andrés Barge-Gil, 2015. "Impact On Firms Of The Use Of Knowledge External Sources: A Systematic Review Of The Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 29(5), pages 943-964, December.
    10. Gerrit Sarens & Patricia Everaert & Frederik Verplancke & Ignace Beelde, 2015. "Diversification of External Accountants Serving Small and Medium-sized Enterprises: Evidence from Belgium," Australian Accounting Review, CPA Australia, vol. 25(2), pages 155-174, June.
    11. Jeremy Phillipson & Matthew Gorton & Marian Raley & Andrew Moxey, 2004. "Treating Farms as Firms? the Evolution of Farm Business Support from Productionist to Entrepreneurial Models," Environment and Planning C, , vol. 22(1), pages 31-54, February.
    12. Kevin F Mole & Mark Hart & Stephen Roper & David S Saal, 2011. "Broader or Deeper? Exploring the Most Effective Intervention Profile for Public Small Business Support," Environment and Planning A, , vol. 43(1), pages 87-105, January.
    13. Peter Johnson, 2005. "Targeting Firm Births and Economic Regeneration in a Lagging Region," Small Business Economics, Springer, vol. 24(5), pages 451-464, June.

    More about this item

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General

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