The Impact of Business Support Services for Small and Medium Enterprises on Firm Performance in Low- and Middle-Income Countries

Interventions designed to support small and medium enterprises are popular among policy makers, given the role small and medium enterprises play in job creation around the world. Business support interventions in low- and middle-income countries are often based on the assumption that market failures and institutional constraints impede the growth of small and medium enterprises. Significant resources from governments and international organizations are directed to small and medium enterprises to maximize their socioeconomic impact. Business-support interventions for small and medium enterprises in low- and middle-income countries most often relate to formalization and business environments, exports, value chains and clusters, training and technical assistance, and access to credit and innovation. Very little is known about the impact of such interventions despite the abundance of resources directed to small and medium enterprise business-support services. This paper systematically reviews and summarizes 40 rigorous evaluations of small and medium enterprise support services in low- and middle-income countries, and presents evidence to help inform policy debates. The study found indicative evidence that overall business-support interventions help improve firm performance and create jobs. However, little is still known about which interventions work best for small and medium enterprises and why. More rigorous impact evaluations are needed to fill the large knowledge gap in the field.

Bibliographic Details

Main Authors:	Cravo, Tulio A., Piza, Caio
Format:	Working Paper biblioteca
Language:	English en_US
Published:	World Bank, Washington, DC 2016-05
Subjects:	EMPLOYMENT, EQUIPMENT, CORPORATION, SEARCH, SME POLICIES, GUARANTEES, ENTERPRISE SURVEY, CAPABILITY, MEDIUM ENTERPRISES, VIDEO, VALUE CHAIN, SUPPLIER, FINANCIAL RESOURCES, INFORMATION, ENTREPRENEURS, MEDIUM ENTERPRISE, SME DEVELOPMENT, COMPANIES, TRANSMISSION, LOAN, FIRM SIZE, CASH FLOWS, OPEN ACCESS, SCALE ENTERPRISES, ECONOMIC ACTIVITY, SMALL BUSINESS, COMMUNICATIONS, SME PROJECTS, INSTITUTIONS, TIME PERIODS, HUMAN RESOURCE, DATA, TECHNICAL ASSISTANCE, COMMERCE, MANUFACTURING ESTABLISHMENTS, FIRM SIZES, PERFORMANCE INDICATORS, LICENSE, VALUE CHAINS, PRODUCTIVITY, MARKETING, MARKETS, FIRM, EXPORT SUPPORT, PRIVATE SECTOR DEVELOPMENT, LOANS, ENTERPRISES, INNOVATION PROGRAM, EMPLOYMENT CREATION, CAPITAL INVESTMENTS, BUSINESS REGISTRATION, DATABASES, BUSINESS PURPOSES, SIZE OF FIRMS, GRANTS, INNOVATION PROGRAMS, STORES, TRANSACTIONS, MANUFACTURING, USERS, TECHNOLOGY, ENTERPRISE SUPPORT, SEARCH RESULTS, CLIENT, GRANT, R&D, REGULATORY FRAMEWORKS, SMALL FIRM, FIRMS, BUSINESS ENVIRONMENTS, INTERNATIONAL TRADE, PRODUCT INNOVATIONS, SMALL ENTERPRISES, INNOVATION POLICIES, TECHNOLOGY DEVELOPMENT, RESULTS, COMPETITIVENESS, NETWORKS, SME SECTORS, ENTERPRISE, MICROFINANCE PROGRAMS, EXPORT PROMOTION, JOB CREATION, PRIVATE SECTOR, SME SUPPORT PROGRAMS, MARKET, COMPANY, DIVERSIFICATION, BUSINESS ENTERPRISES, ADMINISTRATION, EXTERNAL MARKET, TECHNOLOGICAL DEVELOPMENT, SEARCH TERMS, RESULT, INNOVATION POLICY, MICROFINANCE, EXPANSION, MANUFACTURING INDUSTRIES, ICT, SME ACTIVITIES, SECURITY, TECHNOLOGY TRANSFER, BUSINESSES, BUSINESS, NETWORK, SUPERMARKETS, BANDWIDTH, PERFORMANCE, BUSINESS ENVIRONMENT, PRODUCT INNOVATION, INNOVATION, PRIVATE INVESTMENTS, PROFIT, SMALL FIRMS, SPONSOR, CUSTOMERS, SUPPLIERS, SEARCHES, ENTREPRENEURSHIP, DATABASE, PROFITS, EXTERNAL MARKETS, TECHNOLOGIES, FINANCIAL CONSTRAINTS, LARGE ENTERPRISES, TARGET, CREDIT LINES, GUARANTEE, PRICES, CASH FLOW, INNOVATIONS, MISSING DATA, SME FINANCING, SME, CLIENTS,
Online Access:	http://documents.worldbank.org/curated/en/2016/05/26360541/impact-business-support-services-small-medium-enterprises-firm-performance-low--middle-income-countries-meta-analysis https://hdl.handle.net/10986/24501
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