the demand and value of the latter in the labor market.
-Small enterprise expands the boundaries of internal and external competition.
World practice has proven a significant increase in competitiveness through modern
forms of small business organization - clusters, technology parks, venture business,
and so on.
-Entities of small enterprise make a significant contribution to the stabilization of
the social situation, creating new jobs, including and at home, thus reducing the
unemployment rate in the country and reinforcing people's confidence in the future.
The solution to the problem of unemployment is extremely relevant at the present stage
of development of Ukrainian society.
There is much evidence that communities with small enterprises are socially
stable, actively involved in the electoral process, attract more tourists to the region, and
support a larger number of enterprises. Another positive point of small enterprise is the
concentration of local turnover, respectively, the growth of local economic indicators.
As a result, there is an increase in the well-being of the local population, the number
of jobs and tax revenues to the budget. The above-mentioned indicates the remarkable
political significance of small enterprise. This is relevant to many developed countries,
since entrepreneurs as a social group are the basis of the middle class, the most
representative in its number and the one that expresses the political preferences of a
large part of the population. Under conditions of sustainable socio-economic and
political development of society, small enterprise entities are distinguished by their
commitment to the principles of democracy, political stability and economic freedom.
They show the greatest activity in the event of a threat of ownership, because in contrast
to large and medium owners for small enterprises, their property, for the most part, is
the main source of existence and the most important means of self-expression.
-Small enterprise in the conditions of modernization of the economy encourages
ordinary citizens to active entrepreneurial activity, acting as a peculiar way of
disclosing the internal potential of the individual. It is proved that in small enterprise
return on investment is much faster than in large and medium enterprises, which is
connected with relatively small volumes of investments, a significant share of personal
labor costs of the owner, high level of mobility of small enterprise entities, targeted
responsibility for the results of economic activity, high labor productivity due to the
closeness to the optimum size and staff structure, the application in most cases of a
simplified system of taxation, reporting, etc. Stimulating factors in this case are
profitability and stability, as a result of which the entity of small enterprise can remain
profitable even in the conditions of an economic crisis. An example of economic
stability in a global crisis has been demonstrated by countries such as Norway,
Singapore and Sweden where private small enterprise and private initiative flourish.
Thus, we can conclude that small enterprise is not isolated from the general
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