Cluster-based Smes And External Support Systems

As an important part of national economy, small-to medium-size(SM) enterprises have special strategic status in the development of economy and society. Great importance has been attached to the development of SM enterprises in every country, which has been adopted as a very important economic policy all over the world. Accordingly, it is a key task for government economy administration to study on and carry out more suitable policies, to probe into the mode and tactics of the development of SM enterprises, and to promote their further development. It is advanced in theory and edificatory in practice to research into the reform and development, the modes and ways of development, the external supporting system and tactics of SM enterprises.The paper uses studying methods of history analysis, contrast analysis, integration of standard and positive and combination of theory and fact, etc. From the view of enterprise cluster theory, on the basis of the experiences of developed countries combining with Chinese practices, the paper conducts a systematic research on SM enterprises' development theoretically and practically. It aims to apply enterprise cluster theory to the practices of SM enterprises, establish external supporting system of the development of SM enterprises, and thus make contributions to the improvement of Chinese SM enterprises. On the one hand, under the guidance of Marxism, the paper refers to and evaluates some relative theories of SM enterprises matter-of-factly. On the other hand, it attaches importance to the study on practices of the development of SM enterprises with Chinese features. And special efforts are made to make the findings and conclusion accordant and instructional to fact.The paper educes conclusions as follows: (a) It is suggested that staff number be a major standard for the defining of SM enterprises, while sales income and capital supplementary ones. The restrictions of system of ownership will be canceled. And SM enterprises will be defined in terms of clear property right, self-management, and non-dominant position in market, (b) There are a large number of SM enterprises in China, but this does not necessarily mean SM enterprises are developing successfully. It is an inevitable choice for SM enterprises to be in the road of cluster development, which is an important way for the development SM enterprises. (c) Good environment and effective supporting system will be of great help for the development of enterprises. The most important external supporting systems include the sub-systems of financial services, rules of law, technology innovation, personnel resources and social services. (d) After integrating into a cluster, SM enterprises may reduce the disadvantages of small assets, weak anti-risk ability, high frequency of loan demands and high uncertainty, and thus special financial advantages can be obtained, which may also contribute to theestablishment of financial services for SM enterprises, (e) The development of SM enterprises needs a good law environment. With respect to the law environment for the existence and development of SM enterprises, it is suggested that the basic law and auxiliary law, security mechanism and legal enforcement system should be established and consummated, (f) The fast development of SM enterprises should be based on technology innovation. It is vital for SM enterprises cluster to connect with various industries, to adopt the pluralism and seriation strategy, and to extend the long industry chain, (g) Personnel resources is core resource of SM enterprises, whose innovation is effective ways to become a sustainable core competition force. It is important to enhance the notion of current personnel resources management — "man-centered" in the building of personnel resources of SM enterprises, (h) The services for SM enterprises should not be exclusively the government's responsibility. Social service system is a market system, which is built by both government and social micro-economic organizations. SM enterprises need social intermediary. And the steps of the socialization and industrialization of intermediary service must be quickened.The research has the following innovative points: (a) In theory, the paper explains the rationality and inevitability of the development of SM enterprises according to analysis of relative theories of SM enterprises, and sheds new light on some puzzling ideas, (b) In practice, it indicates that SM enterprises cluster is an effective way and inevitable choice for SM enterprises, and makes it clear the correct direction for the development mode of SM enterprises, (c) Based on enterprises core competition force theory, it advises to promote the development of SM enterprises with enterprises cluster mode, which can not only enhance the core competition force of every enterprise, but also contribute to overall core competition force of the whole cluster area, (d) From systematic standpoint, it compares international experiences and presents the specific framework and policy suggestions for all the aspects of external supporting systems of SM enterprises, (e) On the construction of SM enterprises' external supporting system, it provides five major sub-systems: financial services, law policy, technology innovation, personnel resources and social services. Moreover, it points out that all the external supporting systems are interconnected. Therefore, the paper solves systematically the problems of the establishment of the external environment for the development of SM enterprises.