Business Success of Small and Medium Sized Enterprises in Russia and Social Responsibility of Managers

Abstract

This article introduces the authors' approach to the study of business success factors for small and medium sized enterprises. The approach is based on the currently dominant practice of estimating the success of an enterprise as its ability to produce profit. The authors have analyzed the success criteria used by managers of Russian small and medium sized enterprises based on the survey carried out among the managers of 212 small and medium sized enterprises in the period of September -November, 2014, and described the correlation between the business success of small and medium sized enterprises and the level of their managers' social responsibility. To estimate the social responsibility, the authors used the values of average salaries and the proportion between the salaries of average executives and those of their managers. Hence, a nonlinear relation has been established between the business success of a small and medium sized enterprises and the manager's social responsibility.

Small and medium enterprises in the context of regional development and innovations

“…Therefore, supporting growth and development of SMEs as well as innovative policies targeted at fostering their growth should belong to the state-level priorities (Abrhám et al, 2015;Barkhatov, 2016;Barkhatov et al, 2016;Varanavicius et al, 2017). The state support is provided in financial, property, information and consulting forms and it provides one of the most important prerequisites for regional development (Brodzicki, 2016;Niño-Amézquita et al, 2017).…”

Critical Success Factors of Small and Medium-Sized Enterprises in Saudi Arabia: Insights from Sustainability Perspective

“…In case of India, Vyas et al (2015) determined CSFs of SMEs in banking in India: Supportive organizational factors, rapid delivery and response to customers, marketing, banking model and policy, and improved customer service. In Russia, Pletnev and Barkhatov (2016) indicated that SMEs are affected by CSFs like employee professional and personal qualities, relations with customers and suppliers, entrepreneurial skills of the top executives, wages, as well as manager's social responsibility.…”

“…Scholars from various disciplines agreed on the importance of SMEs success in employment, wealth, and social and economic development (e.g., Autio 2005;Omri and Ayadi-Frikha 2014;Omri et al 2015). According to Pletnev and Barkhatov (2016), SMEs contribute approximately 56% of the gross domestic product (GDP) of many European countries (Muller et al 2017). Similarly, Abdullahi et al (2015) cited additional factors that explain the importance of SMEs, such as communities' empowerment, poverty alleviation and employment opportunities provision.…”

“…In fact, the factors that determine their success have increasingly drawn the attention of scholars, practitioners, and policy makers. A review of the peer reviewed literature on critical success factors (CSFs) showed that these factors have been and continue to be the focus of many researchers in several areas, such as CSFs for business start-ups in several countries, such as China and Malaysia (Watson et al 1998;Huang et al 2011;Chong 2012;Chawla et al 2010;Omri et al 2015;Pletnev and Barkhatov 2016;Lampadarios et al 2017), total quality management Aspinwall 1999, 2000), business intelligence implementation (Olszak and Ziemba 2012), business models for sustainability of food and beverage companies in Netherlands (Long et al 2018), women-owned small and medium-sized enterprises in UAE (Gupta and Mirchandani 2018), environmental manufacturing (Jabbour et al 2018), adoption of e-commerce by SMEs in Nigeria (Agwu and Murray 2015), implementation of lean six sigma (Laureani and Antony 2018), implementation of business intelligence in SMEs in Poland (Olszak and Ziemba 2012). In a parallel bundle of the literature, scholars examined CSFs for micro, small and medium sized enterprises in the Kingdom of Saudi Arabia (KSA) either in general (Zamberi 2012) or in different areas like knowledge management (Migdadi 2009), e-commerce (Al-Ghamdi et al 2011;Sin et al 2016), technology transfer (Merdah and Sadi 2011), CSFs of enterprise resource planning (Aldayel et al 2011), business marketing (Sadi and Iftikhar 2011), computer technology acceptance (Al-Gahtani 2004).…”

Estimating Local Consumer Market Size for Marketing Decision-Making

“…This narrow specialization is based primarily on a limited range of capabilities that are directly related to producing a product or service they understand (Pugna et al, 2016). In such conditions, their main focus is on working practices, but managers often lack strategic and tactical managerial skills (Pletnev and Barkhatov, 2016).…”