THE ROLE OF SMALL AND MEDIUM BUSINESS IN THE DEVELOPMENT OF THE NATIONAL ECONOMY — ON THE REPRESENTATION OF AZERBAIJAN

SMEs are where economies begin their journey towards industrialization. Most of today's large enterprises started as small or medium-sized businesses. The expansion of SMEs has been a major factor in the additional growth experienced by industrialized countries over the past few years. A growing number of people now realize that small and medium-sized businesses (SMEs) are the backbone of the market economy and that these businesses must grow organically over time. Entrepreneurs create businesses, create enterprises, acquire or change management resources, accumulate them and grow their enterprises. The growth of the country's economy is significantly strengthened by the activity of SMEs. Compared to large companies, small and medium-sized businesses contribute more to the expansion of employment. The private sector is the backbone of a market economy, and in transition economies, SMEs in particular may ultimately account for the majority of jobs. Support for SMEs will also facilitate the reorganization of larger enterprises by simplifying production complexes through the sale of independent units unrelated to the core business. In addition, through this procedure, the efficiency of the existing business can be increased. They provide additional services, affect the monopoly of big business, and absorb the ups and downs of the modern economy. Their imaginative and adaptable attitude helps them raise the bar on skills through cross-enterprise collaboration. Therefore, SMEs can have a significant positive impact on the development of a trained industrial base and industries, as well as a ready services sector that can increase GDP through value addition.