Mexico’s growth will come from entrepreneurship and small and medium-sized enterprises. Reprinted from innovations (volume 7, number 1) – MIT Press Journals. Original abstract page here and article here. Text based on the presentation, “A Unique Approach to Measure How High Impact Entrepreneurs and Venture Capital are Key Drivers for Long-Term Economic Growth.” Fernando Fabre, Endeavor Global. By Álvaro Rodríguez Arregui For a country to grow, private-sector companies have to grow. Yet over the same time period, Mexico has experienced a mediocre growth in relationship to peer countries. Why has Brazil’s GDP grown 1.8x faster than Mexico’s if Mexico’s largest companies have grown 7x faster than Brazil’s? Large companies in Mexico have in fact shown dynamic growth; however, that has not translated into a higher GDP because these companies have not increased the size of the pie; they have, rather, captured a greater piece of the existing pie.
Achieving one percentage point growth in the GDP by creating new microenterprises would mean adding 273,000 such companies. SME Software. And SMEs - ISO. Small and medium enterprises. Small and medium-sized enterprises (SMEs) or small and medium-sized businesses (SMBs) are businesses whose personnel numbers fall below certain limits. The abbreviation "SME" is used by international organizations such as the World Bank, the European Union, the United Nations and the World Trade Organization (WTO). In any given national economy, SMEs sometimes outnumber large companies by a wide margin and also employ many more people.[1] For example, Australian SMEs make up 98% of all Australian businesses, produce one-third of the total GDP and employ 4.7 million people.
In Chile, in the commercial year 2014, 98.5% of the firms were classified as SMEs.[2] In Tunisia, the self-employed workers alone account for about 28% of the total non-farm employment and firms with fewer than 100 employees account for about 62% of total employment.[3] The United States' SMEs generate half of all U.S. jobs, but only 40% of GDP.[4] Overview[edit] Legal boundary on SMEs around the world[edit] Africa[edit] Bank Lending to SMEs in Mexico: A Glimpse of the Supply Side | All About Finance. There is more than one side to every story. Bank lending to small and medium enterprises (SMEs) is not an exception. On one side are SMEs, their expansion plans, and their needs for financing. On the other side are banks and their policies. Empirical analyses of financing to SMEs typically focus on the firms’ side of the story. Surveys gather information from firms and try to understand their sources of financing, if they are credit-constrained, or even if they rule themselves out from applying for bank loans because they believe they will be turned down by banks.
Those surveys also collect detailed information on firm characteristics, e.g. the date the firm started operations, the owner’s gender, and the reason why the business was started. In 2011 the United Nations’ Economic Commission for Latin America and the Caribbean (ECLAC) and Mexico’s National Banking and Securities Commission (CNBV) completed a project with a different approach. Some interesting findings Banks differ.