Social and Behavioral Sciences Commons^™

The Political Economy Of Small Medium Enterprise Development: Characteristics, Productive Value, And Market Constraints In Industrial Manufacturing, Christine Ngo, Miao Chi

Faculty Journal Articles

This paper highlights the importance of small and medium-sized enterprise (SME) development and introduces the theoretical concept of productive value for qualitative analysis of firms. Vietnam’s industrial development experience is used as a case study. Although the Vietnamese government has channelled rents and business opportunities towards the state sector, the domestic private sector has been crucial to the country’s industrial development. Given this context, this study analyses how Vietnamese SMEs in the private sector generate productive value and overcome market failures that constrain their growth. Research findings demonstrate that most local SMEs in the industrial sectors rely on low pricing …