The Problems of Business Expansion in Small Countries
RTU 48. Starptautiskās zinātniskās konferences „Ekonomika un Uzņēmējdarbība” referātu tēzes 2007
Olga Bogdanova, Elīna Gaile-Sarkane

A specific feature of all the small countries – is limited market, which holds companies in a certain borderline of intense competition with a strictly predefined demand. Smaller economies therefore have to rely more heavily on external trade and foreign investment. However, open borders mean not only attractive opportunities for businesses in other countries, but also new competitors coming to a domestic market. Governments cannot keep the local market intact by applying protectionism measures, which is against the EU principles. The only way for entrepreneurs to hold back the external pressing is to be active and spread operation throughout the other countries. The main reason for companies’ reluctance to expand abroad is lack of information and fear to face trade barriers. As a solution, the authors propose to create in Latvia a single interactive web portal, providing high-quality support services of non-governmental bodies and public authorities, aiming to facilitate the business expansion in small countries.


Keywords
business expansion, small countries, internal market, cross-border operation, information

Bogdanova, O., Gaile-Sarkane, E. The Problems of Business Expansion in Small Countries. In: RTU 48. Starptautiskās zinātniskās konferences „Ekonomika un Uzņēmējdarbība” referātu tēzes, Latvia, Riga, 11-13 October, 2007. Riga: Riga Technical University, 2007, pp.57-57. ISBN 9789984327693.

Publication language
English (en)
The Scientific Library of the Riga Technical University.
E-mail: uzzinas@rtu.lv; Phone: +371 28399196