Institutional Mechanisms Enabling SME’s Competitive Position

Abstract

As a sequential dissemination on an ongoing work in progress upon SME’s competitiveness PN2 project, the paper is designated to evaluate the territorial environment role as enabler factor for SME’s development. Relying upon critical conclusions of SME’s readiness’ degree for accessing the instruments of knowledge economy, such as: the institutional framework and the economic incentives; human resources capability; the innovative system; information infrastructure; vulnerabilities assessment, we are forward designing institutional mechanisms for correcting SME’s noncompetitive position. We suggest interactive networks for consulting expertise poles as institutional mechanism enabling the knowledge transfer for the benefit of SME’s.

Keywords

• Comparative advantages
• SME’s competitiveness
• Knowledge transfer
• Institutional mechanisms
• Market distortion risks