ANALYSIS OF SMALL BUSINESS ACTIVITIES: INSTITUTIONAL APPROACH

Abstract

Purpose: the article aims to analyze small business activity in its development. Discussion: during the study, the authors paid special attention to assessing the impact of institutions on the effectiveness of small businesses, as well as the national economy as a whole, taking into account the essential differences in economic relations characteristic of certain economic systems. Certainly, the development of mechanisms preventing the negative consequences of emerging problems that arise during the development of small enterprises requires identifying the role of the state in supporting the activities of small businesses and in providing individualistic and collectivist approaches to the development of small enterprises. Results: the authors systematize theoretical approaches and assumptions in the institutional analysis of fundamental prerequisites and the external environment, as well as the mechanism of their interaction. On the basis of the analysis, the authors propose refinements of the theoretical approach in the institutional analysis of the justification of assumptions.