Journal section "Young researchers"

Methodology for Assessing the Work of Small Business at the Municipal Level

Kremin A.E.

3 (45), 2016

Kremin A.E. Methodology for Assessing the Work of Small Business at the Municipal Level. Economic and Social Changes: Facts, Trends, Forecast, 2016, no. 3 (45), pp. 231-247. DOI: 10.15838/esc.2016.3.45.14

DOI: 10.15838/esc.2016.3.45.14

Abstract   |   Authors   |   References
In order to promote sustainable socio-economic development in a municipality, its local authorities face the task of establishing an industrial and financial base on their territory, it will help increase its level of economic independence. On the basis of foreign experience and domestic research on territorial development it can be concluded that one of the most effective ways to enhance the level of socio-economic development of the municipality is to boost its small business. Effective management of this economic sector requires adequate assessment of its functioning at the municipal level. The analysis of existing methodologies for assessing the functioning of small business at the municipal level shows that none of them meets the criteria that the author of the present paper has selected and that are necessary for efficient research into the small business sector. In this regard, a methodology for estimating the work of small business at the municipal level was elaborated, and tested on the statistic data of municipal formations of the Vologda Oblast. The study reveals municipalities with the highest and lowest levels of small business development. In addition, municipalities were grouped in three blocks that represent different characteristics of their functioning. Taking into account the problems of business subjects, the study has developed measures to increase the level of development for each group of municipalities. Implementing these activities will help intensify the work of the sector of the economy under consideration, and increase the economic independence of territorial formations in the region. The paper can be used to assess the effectiveness of activities aimed to support small business in the region and to help regional and municipal authorities to work out a strategy for further development of this economic sector


small business, business, municipal formation, typological classification, assessment of functioning

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