Effect Of Political Actors On Small Firms' Business Relationships And Performance

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Executive Summary

Despite the statement of many researchers and politicians on the vital role of SMEs for their contributions to GNP and employment, the research on SMEs relationship with political organizations is left almost untouched. This paper highlights the effect of political organizations like EU, on SMEs business performance. With emphasis on the effect of political unit on long-term business performance, the focus of this paper is on how political units influence small firms. Employing business network theory, the stress is on the effect of political relationship and the connection on business relationship and finally business performance.

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