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Small Firms

In: Entrepreneurship and Innovation During Austerity

Author

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  • Ian Chaston

Abstract

By the 1980s, the small and medium size enterprise (SME) sector in both the USA and Western Europe had become an increasingly important source of employment and a significant contributor to Gross Domestic Product (GDP). In the UK by the end of the 20th century the small firm sector, which is defined as all firms with up to 249 employees, was providing 55 percent of all employment and contributing over a quarter of the nation’s total GDP. Elsewhere within the European Union (EU), small firms have an even more important economic role, generating over 65 percent of total employment.

Suggested Citation

  • Ian Chaston, 2013. "Small Firms," Palgrave Macmillan Books, in: Entrepreneurship and Innovation During Austerity, chapter 13, pages 211-224, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-32443-6_13
    DOI: 10.1057/9781137324436_13
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