Small Business and International Competition -Strengthening the International Competitiveness of Small Business

Abstract

For the past 30 years, the world became more interdependent through trade, capital, and migration. These links affect all nations by spreading economic problems from country to country as they provide benefits for nations around the world. This phenomenon can be illustrated more vividly by the recent World Bank Development Report. This report described that large fiscal deficits , tight monetary policies and concerns about inflation in the industrial countries have raised real interest rates to unprecedented levels, curtailed growth and depressed export earnings of developing countries. With their abiltiy to buy imports and service, their debt thus reduced, many developing countries have had little alternative in the short term but to reduce growth.