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ISSN: 2247-6172 Review of Applied Socio- Economic Research (Volume 8 Issue 2/2014) URL: http://www.reaser.eu e-mail: editors@reaser.eu

Editorial Foreword 1

Prof. Manuela Epure, PhD, MCIM 1

Managing editor of REASER

EU economic growth is possible due to the small and medium sized companies (SMEs) participation. SMEs are considered the backbone of the EU economy, their contribution at EU economy is significant. The majority (99.8%) of the EU enterprises are small and medium sized companies, and they are important contributors to job creation, 2 of 3 new jobs1 are made available by SMEs. More than nine out of ten (92.0 %) enterprises in the EU-27 were micro-enterprises; their relative share of the non-financial business economy workforce and value added was considerably lower at 29.0 % and 21.8 %. The number of SMEs across the EU-27’s non-financial business economy was particularly concentrated within distributive trades (6.1 million enterprises); this was almost twice the number of SMEs within professional, scientific and technical activities or construction. EU Small business sector is the driver of the EU economy recovery from world economic crisis, therefore, these companies are interested to invest in innovation and creativity in order to increase their competitiveness. SMEs are considerably more flexible, than big companies and MNCs, in applying marketing strategies of development, or investing in social economy for example. Assessment of innovation potential of SMEs will show the fact that small companies are more likely to go for new products, or using new unconventional resources in order to be competitive on the market. A survey was conducted at EU-level on factors of business success2. The results of this survey give insight into the factors that determine the success and growth of newly born enterprises, especially looking into motivations for starting up own business, barriers and risks encountered during the first years of existence, the current situation of the enterprise, and business plans for future development. The main success factors identified were: marketing, innovation, policy and government support, standards settings and others with a less relevant influence. The first two factors were constantly subject of scholarly research and the implementation of research results is imperative in the sense of a better management, better market strategies able not only to ensure SME’s survival but also economic growth. Papers published are tackling most of the above-mentioned issues and are interesting both for specialized audience and for the general public.

1

According EUROSTAT – Key figures on European Business-Special features on SMEs, 2011 Factors of Business Success – survey conducted in 13 EU members states and Romania and Bulgaria as accessing countries, 20052006 2

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