Research On The Role Of Administration For Industry & Commerce In The Development Of Medium & Small Enterprises

With the development of economic globalization and knowledge revolution, increasingly importance has been attached to the vital role played by the medium and small enterprises in social economy. Both developed and developing countries and regions are doing active research on supporting the development of those enterprises. At present, the number of medium and small enterprises has account for 80% of the total number of Chinese enterprises. They have played an irreplaceable role in driving up economic growth, increasing employment, technological innovation, foreign exchange earnings, etc..However, despite of their important roles, they are in an inferior position in the market. There are complicated factors that lead to this phenomenon, such as the weakness of those enterprises and restraint of social attitude; more importantly, it is because of the long-term policy of China which tends to support the development of large and medium state-owned enterprises but lack of substantial support to the medium and small enterprises.As the important economic function department of the government, the existence and development of Administration for Industry & Commerce are closely and inseparably related to the medium and small enterprises. Research on its role in the development of those enterprises is an important content in the research on government support for the development of those enterprises.This paper, starting with the definition and the role of medium and small enterprises, on the one hand, systematically analyze the necessity of government support for the development of those enterprises on the theoretical level; on the other hand, it demonstrates that support to them is the objective requirement of healthy social and economic development based on the reality of China. Taking the development of medium and small enterprises in Licang District, Qingdao City as an example, it carries on a comprehensive analysis of problems in the support of Administration for Industry & Commerce for those enterprises based on the present development and problems of these enterprises and present support of Administration for Industry & Commerce; it further proposes the improving measures.Recently, research on the development of the medium and small enterprises has been increased, mostly from macroscopic perspective. The innovation of this paper lies in its emphasis on microcosmic and practical level. Based on the function of Administration for Industry & Commerce, the economic function department of the government, a detailed demonstration about its role in the development of medium and small enterprises and improving measures is also given.