When talking about small and
medium-sized enterprises in Ukraine many people – ordinary people, politicians,
experts – think of small kiosks and stalls at markets. However, these kinds of
businesses make up only a tiny fraction of Ukraine’s economy. There is much more to discover in the Ukrainian SME sector: ambitiously growing IT companies, innovation based spin-outs from academic institutions and manufacturing
enterprises, some successful with attractive goods made in Ukraine. Ukraine’s economic policy has neglected the SME sector’s high potential for
innovation and job creation for decades. This is why we at Friedrich Naumann
Foundation for Freedom set ourselves the goal to raise awareness in Ukraine
for the significance of SME and entrepreneurship. Together with experts
from Berlin economics, Kyiv’s IER, other Ukrainian professionals and liberal
politicians we hosted annual conferences, published policy papers and discussed the experts findings in many bilateral meetings. You hear one thing: We do not want to register in Ukraine. We are afraid. Because if you register in Ukraine, you become a criminal. Attracting attention to competition through innovation, attracting attention to the absence of vertical competition between SME in Ukraine and between medium-sized and large enterprises. Those are the very urgent issues that we hope will find reflection in the political debate and in the documents that are currently being developed: the development strategy in favor of SMEs and on reforming the Antimonopoly Committee. The changes in SME Ukraine will be lasting only with the change of mentality, and that is what we are going to change in our programs in the future, and incorporate in our programs on strategy and development of a business mentality. Alexander Knuth, you have been a leading expert in our SME studies and conferences. Could you put the key results for us in
a nutshell please? Sure. Startups and SME should have the function to competitively challenge big and incumbent companies, because competition brings about innovation, better products and better services for customers. In Ukraine however, startups and SME are often hampered by authorities or by big
businesses and their networks. Policymakers should put an end to such
unfair treatment and instead ensure efficient competition. Could you give us a concrete example? The closure of a large number of oligarch banks in Ukraine has been a crucial step to improve the access of SME to finance. And what has been the most striking finding for you personally? That was the high but untapped potential in the field of academic entrepreneurship. Some final thoughts? Maybe something that is not in our papers an press releases? Yes. Entrepreneurship means more than making money or avoiding unemployment. Entrepreneurship means to enjoy creating value for customers. And regardless the
bad conditions, there are many many entrepreneurs in Ukraine, who are
passionate about creating value for customers. And that’s why it’s important
that we all work together in order to support those entrepreneurs in
Ukraine. Thank you very much Alexander and thank you to all partners, who contributed. And if you feel the same about the spirit of entrepreneurship and unleashing its full potential: Spread the word and share this video.

Tagged : # # # # # # # # # # # # # # # # # #

4 thoughts on “How to push Ukraine’s economic growth with SME-enterprises”

  1. Glad to see progress made in the SME-Sector in Ukraine. Greetings to Alex and all frieds and colleagues at Berlin Economics – you guys do a great job, not only in Ukraine, but also in Belarus.

Leave a Reply

Your email address will not be published. Required fields are marked *