Studies On The Development Of Small And Medium-sized Enterprises In Pingliang City

Small and medium-sized enterprises(SMEs) are prerequisite for healthy,harmonious, and sustainable development of national economy. They are one of the most active and important forces of national economy of China. They are playing an important role that cannot be replaced by big enterprises in the aspects of enhancing competitive power, promoting technical renovation, optimizing economic structure,boosting economic growth, increasing job opportunities, and keeping social stability.In recent years, the SMEs in Pingliang City of China have had significant increment and promotion in their scales, employees, sale revenue, taxes, and proportion in local GDP(gross domestic product). In general, the growth of SMEs is pivotal to the economic and social development in Pingliang City. Hence, this study summarized the function and status, operational characteristics of SMEs and the responsibilities and obligations of government in guiding the development of SMEs. The development of SMEs in Pingliang City was analyzed for their basic situations, main features, existing difficulties and problems, as well as the work necessary for government in promoting the development of SMEs. In addition, the development strategy of SMEs in Pingliang City was also studies. Some main conclusions have been drawn as follows.1) Considering the function and status, operational characteristics of SMEs, and responsibilities and obligations of government in guiding the development of SMEs,this study put forward that SMEs are an active and important force in national economy. Small and medium-sized enterprises are playing a role that cannot be replaced by big enterprises in enhancing competition, promoting technical innovation,optimizing economic structure, boosting economic growth, increasing job opportunities, and keeping social stability.2) The SMEs in Pingliang City were investigated for their basis situation, main features, existing difficulties and problems. The results showed that SMEs in Pingliang City have developed rapidly since the reform and open policy in China. By the end of 2014, the juridical entities of SMEs in Pingliang City have reached 3491,with an employee number of 125,000, sale revenue of 19.78 billion RMB, tax of 0.98 billion RMB, and an increase value of 7.18 RMB, and 37.2% of local GDP. Several key industries have already preliminarily formed, including energy, construction,building materials, food fermentation, fur making, papermaking, and agricultural and sideline products processing. However, there were still some difficulties and problems in the development of SMEs in Pingliang City, such as relatively small overall size,weak market competition, convergent industrial structure, insufficient technical innovation, tight financing environment, scarce capital, low employee quality,backward management and operation, inconsistent cooperation and supporting among enterprises.3) Taken into account the work conducted by the government in the promotion of development of SMEs in Pingliang City, the path choice for the development of SMEs in Pingliang City was analyzed and clarified, which included the development of advantageous industries, cultivation of enterprise cluster, expansion of employment opportunities, coordination of urban and rural development, and strengthening of regional economy. The spatial layout is as follows: development along axis,highlighting regional areas, strengthening industrial parks, cluster development,synchronous promotion of city and countryside. The development priorities include coal chemistry, equipment manufacturing, new building materials, fine and deep processing of agricultural products, and construction.4) In addition, it was proposed that special administrative agency should be established for SMEs. This study suggested that fast development of SMEs should be supported through improving external environment, completing credit guarantee system, expanding investment and financing channels, perfecting social service system, establishing information service system, and encouraging development with preferential policies.