The role of small and medium-sized enterprises in the national economy

Abstract

This paper analysis is related to the growing importance of the small and medium-sized enterprises and its influence to the overall development of the country's economy. The experience of the European Union member states and other developed countries reveals that the small and medium-sizes business development promotes competitiveness and, consequently, the growth of the economy. This sector of the economy is the first to notice all the changes of the supply-demand in the market, is quick to adjust itself to them, to create new workplaces in the areas where certain products and services are in greatest demand in the specific period of time. The particular attention society pays to the analysis of the processes of small and medium-sizes business development, current tendencies and perspectives of this sector, as well as to the search of effective methods that would allow increasing productivity of this sector. The scientific problem of the article is the role of small and medium-sized enterprises in the national economy. The main purpose of the article is to define the influence of small and medium-sized enterprises to Lithuanian's national economy. To reach the purpose scientific literature and statistical data analysis methods were used. The results have shown that small and medium-sized enterprises play a significant role in Lithuanian's national economy and this factor greatly stimulates the whole economic growth of the country.