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Scientific ideas of young scientists | Pomysły naukowe młodych naukowców |
Научные идеи молодых ученых
34 November 2020
THE ROLE OF SMALL BUSINESS IN INNOVATIVE ACTIVITIES
Bekbaeva Feruza Baxtiyarovna
Assistant Professor at the department
of “Corporate Economics and
Business Analysis”
Tashkent State University
of Economics, Uzbekistan
Abstract: This article highlights the role of small businesses in the development,
and implementation of innovative ideas based on the analysis of leading economists. It also shows
the essence and forms of small business in the socioeconomic sphere. It is based on the social
orientation of small businesses, innovation activities between the population and large enterprises,
and training policies. The analysis of indicators of development of small business in the world
practice is a given and a conclusion about its natural features is given. The specific features and
directions of adaptation are presented and recommendations for the changing needs of the population
are given.
Keywords: entrepreneurship, small business, innovative economy, firms.
One of the most important strategic tasks of small business is to create a competitive
environment in a market economy. Of course, small firms collide with large corporations and are
often defeated. However, small firms serve as the main force in dealing with the entire small business
and big business sector. Leading scientists and experts from international forums and organizations
have come to the conclusion that the only way to combat the rise in unemployment is to create new
businesses and jobs. In addition, small firms represent a unique “Audience” for practical education
and training of young professionals.
In many countries of the world, most of the population is engaged in small business.
Specifically, 80% in China, 48% in Japan, 50% in the United States and 78% in Uzbekistan. The
share of small businesses in the world is also high: 60% in China, 68% in Italy, 53% in Germany,
48% in Korea, 50% in the USA, 21% in Russia and 56% in Uzbekistan. The number of business
entities per 1000 population is 57 in the European Union, 90 in the United States, 27.2 in Russia and
22% in Uzbekistan. The analysis shows that the share of small business in the economies of developed
countries is high. Because he identifies an ever-growing need and quickly implements new ideas to
meet it. A country that produces a new product will be in economic growth.
Small business prevails over large business due to the absence of the need for large
investments, the ability to form a natural competitive environment, the ability to establish market
equilibrium, as well as flexible response to rapidly changing economic conditions.
There are two aspects of small business development in developed countries: the first aspect
is related to the economic and social objectives of small business, which reflect its importance. The
second is related to the inherent shortcomings of small businesses and the underdevelopment of the
country due to these shortcomings. Revealing these aspects of small business requires the formation
and development of a small business support system.
R. Barr states: The first and indispensable characteristic of the leader of any organization is
that he or she is not considered an employee like other employees; uses coercion of the participants
in the production process (workers or capitalists) to ensure that the goals set for them correspond to
each other and the production unit. His economic responsibilities will never be delegated to an
ordinary worker.
In the economic theory of economic evolution, J. Schumpeter includes the following
individual goals: production of new, unfamiliar consumer goods (services) or old goods (services)
with new functions; introduction of new production methods that were not previously used; the
development of new markets or the wider acquisition of old ones; development of new sources and
types of raw materials; new organization of production and sales.
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