SMALL ENTREPRENEURSHIP AS A KEY RESOURCE FOR ECONOMIC GROWTH

Abstract

The article describes the main trends in the development of national small business. The study of trends in the development of small business showed a decrease in the number of national entities of small business, in the dynamics over the past 8 years more than 17%. This negative tendency indirectly affects the reduction of the social standard of living of the population, in particular the unemployment rate in the country. It has been found that over the past 3 years there has been an increase in the number of unemployed people aged 15-70 years, and its share in 2017 in % to the economically active population is 9.5%. The characteristic features of small business, which are the basis of its dynamism and effective activity, are defined. Small business is seen as a key resource for economic growth. The unconditional advantages of small business are: mobility, the ability to respond quickly to changes in the economic environment and the ability to quickly adapt to the needs of consumers. In the course of the research, the list of features of small business, which predetermined its dynamism and capable of ensuring effective development, was formed and substantiated. These include primarily: intensification of the structural adjustment of the economy, formation of the direction of economic growth; specialization, orientation to market needs; mobility, which is achieved due to small amounts of investments; particular attitude to the labor process, interest in the final result; readiness for innovation; stabilization of the social situation; stimulation of the disclosure of the internal potential of the individual by involving ordinary citizens in entrepreneurial activity. It is proved that the existing problems of the national small business cause the need for its facilitation in order to accelerate economic development and improve the economy as a whole.