Wednesday, June 13, 2012

Small business and Globalisation

The United States Administration celebrated what is called the "National Small Business Week" in May. DevelopTradeLaw blog had a good summarisation of the concept here. As per the Presidential Proclamation  of the US President related to the Week, here is some information:
"During National Small Business Week, we celebrate the generations of entrepreneurs who have given their all to realize a dream, and we renew our promise to help their businesses grow, hire, and succeed.

Because small businesses are the backbone of our economy, we must ensure our country recovers and rebuilds not only from the top down, but also from the bottom up and the middle out. That is how we will forge an America built to last, and that is why my Administration continues to widen the circle of opportunity for our workers and our businesses.
Moving forward, we will continue to promote tax reform to ease burdens on small businesses and entrepreneurs. And we will seek out new ways to help our companies grow by opening up the global marketplace, leveling the playing field, and forging strong partnerships between government and private enterprise."
Critics of globalisation often view the process as being driven and favouring large, big businesses. The National Small Business Week concept is a break from this view. Can globalisation favour small businesses? Can small entrepreneurs, industries, traders benefit from increased integration of their countries in the world economy? Does the WTO address concerns and issues of businesses irrespective of size and influence? While an Airbus-Boeing dispute at the WTO signifies the importance of large corporations playing role in a country's economy, will smaller businesses (through their associations) have a similar influence on national policy? Will the interests of smaller businesses find place in a national strategy to engage with globalisation? "Equitable" globalisation is often sought as a response to the ill effects of cartelisation and influence of monopolistic, large businesses in the world economy. Is encouraging small businesses a way to make globalisation more humane? Does it signify the need to engage larger sections of the population in the globalisation agenda? While countries do have policies to encourage small and medium industries and businesses, there is a need to develop a strategy to realise the full potential of small businesses in a globalised world.

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