Policy for Support of Small and Medium-size Enterprises in Hungary: The Case of the Central Region

Lili Berko and Agota Gueullette

Post-Communist Economies, 2003, vol. 15, issue 2, 243-257

Abstract: Despite conforming to the juridical and institutional standards of the European Union and a supportive policy on the part of the country's government, the SME sector in Hungary still has many distinctive features compared with its equivalent in the West. The intermediary institutions recently established are not yet working effectively. The networks of information and co-operation between businesses are poorly developed. In the sphere of innovation, owing to their meagre financial resources and given the lack of genuine business nurseries, the SMEs are at a disadvantage in relation to large-scale enterprises. This analysis brings out the fact that the Central Region is markedly ahead of the rest of the country. Nevertheless, when an international comparison is made, this region does not yet rank among the developed zones of Europe. The investigation shows that the SMEs are not greatly interested in the training programmes that are available. A new strategy for training is needed.

Date: 2003
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DOI: 10.1080/14631370308096

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