LEGAL FRAMEWORK FOR DEVELOPMENT OF SMALL AND MEDIUM ENTERPRISES IN BULGARIA

Radostina Yuleva – Chuchulayna

Abstract

Changes in the world economy are a result of wider expansion of competition between companies based in different countries, including Bulgaria. This requires all parties, as well as individual enterprises, to adopt new strategies that allow them to develop competitive advantages through knowledge of innovation and the essence of small and medium – sized enterprises. In recent years, it has solidified the understanding that small and medium – sized enterprises are more flexible and adaptable than large organizations. Small and medium -sized enterprises have a new idea of a product, service or process, smaller costs and are faster than big business. Small companies usually strive with all the forces and means to enter the market and conquer a certain position. Sometimes large firms do not absorb inventions developed in their own scientific divisions because of the risk of getting an insufficiently high profit margin to cover the costs. In order to be more easily managed small businesses, managers should be familiar with the nature of the organization, its goals and motives, the market, as well as the legislation allowing all this to be in accordance with the law of Bulgaria. The formation of an appropriate economic and legislative environment for the effective functioning of small and medium – sized enterprises is a difficult and lengthy process for each country. Small and medium – sized enterprises are a key prerequisite for the existence of competition and working markets, and therefore for the overall economic development of a country. Not surprisingly the EU’s business support policies focus precisely on supporting small and medium – sized enterprises – in this segment is the most turbulent entrepreneurial activity, there are creating the most new jobs and often they are a source of successful innovation. The main objective of this article is to clarify the nature and peculiarities of small and medium – sized enterprises, as well as the impact of Bulgaria’s legislation on small businesses. The main research methods used in the development are content analysis, method of analysis and synthesis, intuitive and systematic approach.

Keywords: small and medium – sized enterprises (SME’s), competition, innovation, economy, legislation, regulatory frameworks

JEL Codes: H00, H19, H50, K00, M00

LEGAL FRAMEWORK FOR DEVELOPMENT OF SMALL AND MEDIUM ENTERPRISES IN BULGARIA

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

References

Center for Economic Development. (2001). Small and medium – sized enterprises and competitiveness, prepress “Ran design”, Sofia, print “Varna – print”, Varna, p. 12, 16.
Commercial Law, last amended, No. 88 from 23.10.2018, Bulgaria.
Daskalov, R. (1992). Introduction to the sociology of Max Weber. Publ. “St. K. Ohridski”, Sofia.
Dobrev, D. (1936). Introduction to private – business science, Sofia, p. 17.
European Commission. (2007). The new definition of small and medium – sized enterprises, publications for businesses and industry, Available of European Communities, 2007 http://europa.eu.int/comm/enterprise/enterprise_policy/sme_definition/index_bg.htm.
European Union Guide. (2019). www.europarl.europa.eu/factsheets/bg.
Ford, H. (1922). My Life and Work. Garden City, Garden City Publishing Company.
Scolev. (2010). What is actually an enterprise? Available article on: https://skolev.wordpress.com/2010/07/03/kaka-e-predpriqtieto/.
The obligations of the companies reached 157 billion BGN. At the beginning of 2010, available on: http://www.bia-bg.com/1/1/MlW-gRW7I5WnIlWHUZK3YJS-c9O3IdOfMhKvYZe7gRK-UdOLU9OHUlKLgdaPIRmXct iP.
Vladimirov, G. (2001). Is a well-functioning market economy built in Bulgaria? In: The European dimension in the management and economy of countries in transition. Sofia University – St. “Kliment Ohridski”, Faculty of Economics, ed. – Paradigm, p. 176-198.

LEGAL FRAMEWORK FOR DEVELOPMENT OF SMALL AND MEDIUM ENTERPRISES IN BULGARIA

References

Center for Economic Development. (2001). Small and medium – sized enterprises and competitiveness, prepress “Ran design”, Sofia, print “Varna – print”, Varna, p. 12, 16.

Commercial Law, last amended, No. 88 from 23.10.2018, Bulgaria.

Daskalov, R. (1992). Introduction to the sociology of Max Weber. Publ. “St. K. Ohridski”, Sofia.

Dobrev, D. (1936). Introduction to private – business science, Sofia, p. 17.

European Commission. (2007). The new definition of small and medium – sized enterprises, publications for businesses and industry, Available of European Communities, 2007 http://europa.eu.int/comm/enterprise/enterprise_policy/sme_definition/index_bg.htm.

European Union Guide. (2019). www.europarl.europa.eu/factsheets/bg.

Ford, H. (1922). My Life and Work. Garden City, Garden City Publishing Company.

Scolev. (2010). What is actually an enterprise? Available article on: https://skolev.wordpress.com/2010/07/03/kaka-e-predpriqtieto/.

The obligations of the companies reached 157 billion BGN. At the beginning of 2010, available on: http://www.bia-bg.com/1/1/MlW-gRW7I5WnIlWHUZK3YJS-c9O3IdOfMhKvYZe7gRK-UdOLU9OHUlKLgdaPIRmXct iP.

Vladimirov, G. (2001). Is a well-functioning market economy built in Bulgaria? In: The European dimension in the management and economy of countries in transition. Sofia University – St. “Kliment Ohridski”, Faculty of Economics, ed. – Paradigm, p. 176-198.