خلاصة:
The main purpose of this paper is to analyze the role of the total new SMEs established during 1995–2002 and their life cycles in job turnover up to 2005. The focus of this paper is on textile industry (ten employees and more) as a major industry in Iran. Proportionate hazard model is made and the findings show that، although small and medium-sized firm، plays an important role in job generation، most of the existing SMEs have had more share in job failure. The results also revealed that only a few SMEs can survive during the first three years after their startup and a small number of them are able to grow and create employment. From the policy making point of view، these findings have emphasized that SMEs have to be supported during their infancy.
ملخص الجهاز:
Investigating the Impact of the Life Cycle of Newly Established Small and Medium-Sized Enterprises on Employment Changes: Experiences from the Iranian Textile Industry During the Period 1996-2005 Mohammadali Fayazpour1 – Saeed Saeida Ardakani 2 – Hanieh Pooshdoozbashi 3 1.
In this study, to determine the life cycle, the relative failure pattern, determining the net changes in employment of enterprises, and comparing them have been used, and the results obtained also indicate that small and medium-sized enterprises can only be considered as the main creators of jobs if they can continue their economic life in the first three years of entering the market.
Therefore, the main objective of this study is to investigate the role of the life cycle of newly established enterprises4 in changes in created employment, with a particular emphasis on the textile industry, but in recent years it has faced numerous issues, including the exit of many enterprises.
For this purpose, in this study, enterprises entered in each of the years of the 81-1375 period were classified into two groups, small and medium-sized enterprises and large enterprises 2, based on size, and their situation in the third year of starting activity was analyzed from the point of view of ability to continue life and, if alive, changes in their employment.
Distribution of grown, lost, and net employment during the period 1375-1381 {Refer to the attached table file} (Refer to the image on the page) Discussion and Conclusion Although small and medium-sized enterprises, with a share of more than 90 percent, account for the majority of newly entered enterprises in the textile industry, a significant number of them do not have the ability to continue their activities in the early years and are excluded from economic activity.