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Boosting SMEs through the Internet

Paris, February 8&9,1999


The Concerted Actions, based on Article 130.2 of the Treaty, aim to increase the efficiency of Member States’ actions in the improvement of the business environment and in the stimulation of business support measures through sharing experiences and examining the results of different practices.

The importance of the activities carried out under this initiative, lies in the establishment of a dialogue and of a dynamic of partnership between parties interested in the development of SMEs, independently of the level at which they operate.

Under the programme for 1999, which is particularly devoted to SMEs in their growth phase, a seminar was held in Paris on February 8&9, 1998, with the objective of identifying how to enhance and make more effective the provision of business support services to SMEs by making use of the Internet and its associate technologies.

There were two plenary sessions and 4 workshops, which analysed the following issues :

How can the demand for the Internet by SMEs be developed?

The development of service provision for SMEs and firm creation in the field of the Internet

Co-operation in the use of the Internet by SMEs

The need for an Internet Observatory and useful tools to monitor the development of the Internet among SMEs
 
 

The workshops facilitiated an active debate between representatives of the public authorities responsible for SME policy, providers of support services to SMEs, a group of SMEs, selected so as to provide evidence on the barriers and advantages of the uses of the Internet and new Information and Communication Technologies.

Some of the problems identified included :

The lack of awareness and of understanding of the potential benefits for SMEs

The scarce skills, know-how and experience of SMEs in implementing new business models in a new business environment

The difficulties of SMEs in networking and in properly understanding customers and market information

Select the right time window for a given business

Difficulties with complex rules and regulations as well as with the fact of having to react in a diversified cultural and linguistic environment

The scarcity financial resources and funding
 
 

The debate gave rise to a number of recommendations which will make possible an appropriate follow-up to the main issues, so that "SMEs can really be boosted through the Internet". Among the issues proposed for follow-up, in concertation with the Member States under the Concerted Action programme, were the following matters:
Deregulation and the liberalisation of the environment in relation to the Internet. The setting of fair global rules of the game

The promotion of competitiveness via R&D, validation, implementation and assessment projects

The encouragement of partnership and co-operation in value chains and industrial clusters

The identification of good practice and its transfer, providing it with a sufficient visibility

The establishment of networks of financing organisations and business angels

The promotion of model contracts and the establishment of legal assistance facilities

The creation of virtual incubators for start-ups

The design of awareness campaigns and training activities; i.e.: workshops, training courses, homepages, newsletters, mailing lists

The establishment of an interactive communication with public authorities via the Internet; particularly in order to facilitate some categories of paperwork and information provision: completion of administrative forms, payments, public procurement procedures, etc

The creation of procedures to monitor the uses of the Internet, in order particularly to promote tangible and intangible investment and to study the impact of public action, through, for instance : observatories, socio-economic and regulatory surveys; labour market demography and job creation studies.
 
 

As a general conclusion, it was felt that the key to success with the Internet and the New Information and Communication Technologies, is once again, co-operation
 
 

Mirian.IZQUIERDO@DG23.cec.be