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SYSTEMATIZING THE FACTORS THAT MAKE SMALL BIZNES DEPEND ON
MANAGEMENT ACTIVITIES
Mamatkulov Bakhtiyor Khalmuradovich
Professor of the "Economic Statistics” department,
doctor of economic sciences (DSc)
Tashkent State University of Economics,
e-mail:
phone: +99890-910-74-28
Abstract.
In this article, the conclusions are drawn to the paint systematization of factors that
make small business depend on management activities in the conditions of modernization of the
economy.
Key words:
small business, competitive environment, modernization, inflation, consumer prices,
favorable business environment, small enterprise and microcompanies.
Кичик бизнecни бошқарув фаолиятига таъcир этувчи омилларни тизимлаштириш
Mamatkulov Baxtiyor Xalmuradovich-
Toshkent davlat iqtisodiyot universiteti
“Iqtisodiy statistika” kafedrasi professori,
iqtisodiyot fanlari doktori (DSc)
электрон почта: b.mamatkulov@tsue.uz
tel: +99890-910-74-28
Аннотация.
Ушбу мақолада иқтисодиётни модернизация қилиш шароитида кичик
бизнecни бошқарув фаолиятига таъcир этувчи омилларни тизимлаштириш бўйиша
хулосалар келтирилган.
Таянш тушунчалар.
Кичик бизнес, рақобат муҳити, модернизация,
инфляция, истеъмол нархлари, қулай ишбилармонлик муҳити,
кичик корхона ва
микрофирмалар.
Систематизация факторов, влияющих на управленческую деятельность малого
бизнеса
Маматкулов Бахтиёр Халмурадович –
профессор кафедры "Экономическая статистика",
доктор экономических наук (DSc),
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Ташкентского государственного экономического университета электронная почта:
тел: +99890-910-74-28
Аннотaция.
В данной статье представлены выводы по систематизации факторов,
влияющих на управленческую деятельность малого бизнеса в условиях модернизации
экономики
.
Ключевые слова:
м
алый бизнес, конкурентная среда, модернизация, инфляция,
потребительские цены, благоприятная деловая среда, индивидуальные предприятия и
микропредприятия.
Introduction
Internal and external factors have a positive and negative impact on the process of managing
small business activities. Internal factors include the amount of resources of a small business,
their size and distribution, methods of organizing labor, technological level, pricing policy, etc.
External factors affect the management of small business from the outside. They include factors
such as the competitive environment and conditions of the market, the actions of sellers and
buyers, political and social factors, natural and climatic conditions, legal and regulatory
framework, and government.
“Since internal and external factors affecting management have a significant impact on the
results of production, commercial, financial and other activities of small business
(entrepreneurship), it is necessary to take into account each factor when making management
decisions. The specific features of small business management depend on the functions that
small business performs, its place in the economy, the business environment in which it operates,
and, finally, the policy pursued by the state in relation to it. These factors give rise to factors
specific to small business management. These factors can be divided into quantitative and
qualitative factors. Quantitative factors include the number of employees in small business
(entrepreneurship), the volume of goods sold, and the value (amount) of assets.
Material and Method
The number of employees working in a small business (entrepreneurship) is of great importance
for its management. The level of management of the owner of the business and the relationship
with the employees (staff) depend on this factor. The craftsman is the owner of the business
himself, he is a manager and an employee. The small entrepreneur manages his small business
(entrepreneurship) himself and is in close contact with the working staff. The owner of a
medium-sized small business (entrepreneurship) hires specialist managers for management and
with their assistance manages the business. The relationship of the owner of a large business
(small business) to the management of a small business (business) is connected with its
employees. Although the advantages, disadvantages, and characteristics of a small business
(business) constitute qualitative factors in small business management, it is derived from
quantitative factors. There is no consensus among scientists about the criterion of quantitative
factors. There are two directions in this regard, the views of the supporters of the first direction
are based on the characteristics of the external environment. The supporters of the second
direction do not consider small business (business) as a reduced form of a large enterprise, but as
an organization that differs from small business (business) with its own characteristics. The first
direction includes four types of factors.
Material and Method
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The first group of factors includes the state of the economy and the conjuncture. The second
group of factors includes the state of market infrastructure, the third group of factors includes
state policy aimed at managing small businesses, and the fourth group of factors includes
society's attitude towards entrepreneurship. The second direction is the desire of small business
(entrepreneurship) for innovation, adaptability to the external environment, and recommends
combining small business management with marketing. With the transition to a market economy,
a new form of management is emerging. Working according to a plan leads to profit and
satisfaction of consumer demand
.
Results
A number of factors influence the development of small businesses. They can be divided into
organizational and legal, technological and economic factors. The combined effect of these
factors ensures the future development of small businesses.
We need to pay attention to the following factors that will influence the future development of
small businesses:
Organizational and legal factors include:
-correctly determining of the degree of specialization of production in small business
management activities;
- choosing a convenient place for small business;
- establishing the correct management mechanisms for small businesses;
- level of service provision for small business management activities;
- organization and coordination of small business management activities;
- increasing the level of knowledge and skills of small business entities;
- determine the level of information resources available to those engaged in small business;
-providing small business entities with resolutions, laws and other regulatory and legal
documents;
- improving the system of contractual relations in small business management activities;
- correctly determining the prices of products manufactured and sold by small businesses based
on supply and demand;
- monitoring the level of credit resources available to small business activities;
- economic support from the state in the form of subsidies for small business activities;
- providing small businesses with customs payment privileges to increase the assortment of
various consumer products;
Technological factors include:
- increasing the level of mechanization of production in small businesses;
1
Kasimova M.S., Shodibekova D. A., Yusupov M. A., Samadov A.N. Small business control . Read
more manual . - T .: Uzbekistan Writers association Literature fund publishing house , 2005. 160
p .
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- ensuring financial support from the state in applying modern technologies to the production of
small businesses.
Economic factors include:
-
ensuring price stability in our country;
-
achieving a reduction in administrative restrictions imposed by the state in the country's
economy;
-
creating a competitive environment among small businesses;
-
achieving stability of exchange rates in our country;
-
creating conditions for small businesses to freely choose sources of financing.
The above factors together ensure that the future of small business is positive for effective
management. While some of these factors can be directly controlled by small business entities,
some factors have an impact that is beyond the control of the entrepreneur. Natural and
ecological factors or the macroeconomic situation in society have an impact that is beyond the
control of the entrepreneur.
2. The figure shows the positive factors influencing the management of small businesses
(entrepreneurship) in the Republic of Uzbekistan.
Figure 2. Positive aspects of external factors influencing the management of small
(enterprises) in the Republic of Uzbekistan
It should be emphasized that some of these factors are of decisive importance in the production
process. The knowledge and skills of a small business (entrepreneur) allow them to properly use
other factors and control some of them.
2
It was compiled as a result of the author's scientific research.
Small business
(entrepreneurship)
management
Introduction of external
factors
Creating an investment
environment
Improvement of
ecological factors
Improving the
skills of entities
engaged in small
business
(entrepreneurship
) activities
Commercial banks
check that loans are
issued on time
Determining the existence
of a competitive
environment among small
businesses
(entrepreneurship).
Study of benefits in
the tax system for
small business
(entrepreneurship)
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Figure 3. Positive aspects of internal factors influencing the management of small business
(entrepreneurship) in the Republic of Uzbekistan
As we can see from Figure 3 above, there are a number of economic factors influencing
the effective management of small businesses. Environmental factors also play a significant role
in entrepreneurial activity and small business management.
Discussion
These factors, presented in Figure 3, have a direct impact on the management of small businesses.
Each businessman or entrepreneur in a market economy is interested in the demand for consumer
goods and services, that is, they strive to produce products that are in demand in the market.
Otherwise, that is, a business entity that does not take into account consumer demand or
implements a market offer without studying it, is unlikely to face a crisis situation. That is why
the internal factors mentioned above are the main factors that directly affect the development of
entrepreneurship and business.
By analyzing all the factors listed above, it can be seen that the factors of small business
management are multifaceted and complex. In most economic literature, these factors are
described in a confusing manner, mixed with some elements, in the areas of business
management. That is why there are various opinions on this issue. However, they do not deny,
but rather complement each other.
The labor market is one of the most important factors affecting the management of small
businesses. It is known, that one of the socio-economic tasks of small businesses is to employ a
wide range of the population. Ensuring employment of young people allows you to increase the
income and well-being of the population. In order for small businesses to operate effectively in a
competitive environment, they need qualified and experienced business specialists.
As can be seen from the data in Table 1, in 2023, the number of newly established small
enterprises and microfirms in the Republic of Uzbekistan by region increased by 1,939 in the
Republic of Karakalpakstan, 1,220 in Bukhara region, 1,209 in the city of Tashkent, 81 in
Jizzakh region, and 279 in Surkhandarya region. The growth of those employed in our republic
in increasing the production of finished products by small enterprises requires active use of the
opportunities created. (Table 1)
3
It was compiled as a result of the author's scientific research.
Small business (entrepreneurship)
management
Identify internal factors
Determination of credit
system rates
Creation of a
business plan on a
scientific,
organized basis
Clear
acquisition of
small business
(entrepreneu-
rial) activity
Material
interest of small
business
(entrepreneur-
ship).
Effective use of
natural and
financial resources
Improvement of
annual reports
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Table 1
Number of newly established small businesses and microfirms in the regions of the
Republic of Uzbekistan, in units
Indicators
Years
2023 compared to
2022
(+;-)
2022
2023
Uzbekistan Republic
90177
86030
-4147
Karakalpakstan
Republic
4308
6247
1939
regions :
Andijan
5406
4185
-1221
Bukhara
4413
5633
1220
Jizzakh
4505
4424
-81
Kashkadarya
8551
5922
-2629
Navoi
4323
3796
-527
Namangan
5542
4636
-906
Samarkand
10613
7570
-3043
Surkhandarya
4083
3804
-279
Syrdarya
2073
2203
130
Tashkent
6799
6940
141
Fergana
8828
8036
-792
Khorezm
5655
6347
692
Tashkent city.
15078
16287
1209
Source:
it was compiled by the author according to the National Statistics committee of the
Republic of Uzbekistan.
Currently, small businesses that operate effectively have as few management layers as possible
in their organizational structures, and they pay great attention to processes such as fulfilling
orders, discovering new products and planning production, distributing goods, and providing
customer service.
Discussion
Therefore, in small business (entrepreneurship), the management links are being shortened, a
single-level management system is being introduced, and the number of managers is being
reduced. Horizontal connections are established between employees of small business
(entrepreneurship) performing various functions. They do not have a direct subordination, but
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often determine the consistency and interdependence of various production (practical) operations
of small business (entrepreneurship). The communication system means that all management
bodies perform their functions in close contact with each other. Loss of communication means
loss of control. Connections can be of various forms: linear (vertical), functional (horizontal),
networked, regional.
In 2023, small businesses in the Republic of Uzbekistan produced industrial products worth of
176,523.9 billion soums, or 26.9% of the total volume of industrial production. The growth rate
in 2023 compared to 2022 was 113.9%.
Among the regions of the Republic of Uzbekistan, the highest share of small businesses in total
industrial output falls on Fergana region (49.2%), Surkhandarya region (47.3%), Namangan
region (47.2%), Samarkand region (44.6%) and Tashkent city (37.8%) .
Conclusion
It is important to study the management of small business entities through quantitative and
qualitative indicators and analyze their results in depth. When analyzing quantitatively,
indicators such as the number, quantity, and volume of small business entities are studied, while
qualitatively, they study how they fulfill the planned tasks of their activities, their export
potential, how many people work in this area, and the dynamics of the products they produce.
References
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