Abstract
As an introduction, Chapter I attempts to:l. present an overview of Canadian economy and small business.
2. define the purpose and objectives of the study, and
3. outline the method used for the study.
The efforts of Chapter II are directed towards the definition
of small business by examining three popular approaches for
the definition: Structural Approach, Behaviourial Approach.
ang Generic Consideration. Arguments of all three alternatives
were analyzed. Consequently, from the operational point of
view and the purpose of this study, the structural definition
is adopted, nevertheless, it is assumed that business is
normally managed by its owner or owners.
Chapter III concentrates its deliberation on the Economic
Justification for Promoting Small Business. The argument presented in the chapter compares the relative
efficiency of the smaller firm with that of larger company,
its innovative activities and above all the resources consideration.
t was concluded that there is no clear evidence that small
firms are less efficient than large corporations, moreover,
from the point of view of both the innovative activities and
resources allocation, the performance of the smaller firms must,
be recognized. For this reason, the government's efforts in promoting the growth of smaller firms is justifiable. However,
the question of the extent to which the government should be
involved in stimulating small business growth is yet to be
examined.
Chapter IV establishes a set of general criteria relating to
small business development policy. Essentially, it emphasizes
the importance of understanding the behaviourial characteristics
of the owner/managers of small firms; the need of regional
emphasis and above all, the self-sufficiency and self-reliance
be the focal point of all government undertakings.
Chapter V examines Canadian government policies affecting small
business growth in retrospect. The examination includes major
protective policies, and the various government incentive programmes
and grants. Finally, the chapter closely examines the establishement
of the Industrial Development Bank 3 its objectives,
operations and accomplishments.
Government measures to assist the small business since 1975 were
assessed in Chapter VI. The first part of the assessment concentrates on the purposes and objectives of the Federal Business
Development Bank and its first 2 years performance since its incorporation, A comparison is also made on the structural difference
between the Industrial Development Bank and the Federal
Business Development Bank.
The latter section of the chapter is devoted exclusively to
recent government undertakings, including the inauguration of
the Minister of State Small Business, the Enterprise Development
Programme and Enterprise Canada '77.
As a general consideration for government measures in aiding
the small business, Chapter VII analyzes the fundamental issues
of the Canadian economy as related to small business. development
problems encountered by Canadians. The lack of
an effective industrial strategy, strong government presence
and government influence on entrepreneurship are thought
to be experienced by the small business community in
Canada.
Specific considerations are directed into inquiries of various
crucial areas affecting Canadian small business growth (Chapter
VIII). This includes a detailed assessment of the effectiveness
of the operations of the Federal Business Development
Bank, the government grants and incentive programmes on the basis
of early established development criteria, taxation, the
presence of crown corporations, legislation and regulations
as well as the attitude of small business owner/managers towards
the government.
To conclude the findings of the study, Chapter IX reveals
some of the policy recommendations made by the Canadian
Federation of Independent Business that have been implemented
by the government, At the same time, it is re-emphasized that should any attempt be made to resolve Canadian small business
development problems, the need of adopting an effective industrial
strategy must be taken into account, furthermore, the fundamentals
of such a strategy must be based on self-sufficience and self-reliance.
The model used by Ryerson Polytechnical Institute is
demonstrative of total involvement in promoting small business by
an educational institution and other undertakings in the private
sector on self-sufficiency projects. These are illustrated and
recommended as a starting point to begin the search for an
effective small business policy for Canada.
| Date of Award | 1978 |
|---|---|
| Original language | English |