World experience shows that without a free market economy without an independent producer, entrepreneurial activity without the prosperity of society is impossible.Formation of small and medium-sized structures in various sectors of the global economic trends corresponds to the formation of such economies, where there is a significant number of small businesses of various profiles and complements the state enterprise.
State enterprise is an essential element of the market economy, significantly contributing to the growth of GNP.
At this point in the country, this sector accounts for 70% of all enterprises and accounts for about 35-40% of employment in social production.Therefore, it can be argued that entrepreneurship in its economic nature is the product of a market economy and dialectically connected with it.
To examine the role of entrepreneurship in economic development, it is appropriate to define its basic functions in the economic mechanism and forms of state support to small business that are realized today in our country.At the same time it should be noted that the functions of entrepreneurship may be supplemented, depending on the actual situation, given the economic situation in the country and the world economy and on what methods of state support of small business currently dominated by development.
for the harmonious development of private and public enterprise should be considered with all the features for Enterprise Development.In this context, refers to the autonomy of private enterprise, on the one hand, and its dependence on state institutions.
autonomy manifested through its basic functions (receiving benefits and innovation) and determines the total, which is typical for any business in the socio-economic environment.A dependence of private entrepreneurship is expressed through its interaction with the state of the economy through competition and the mechanism of its regulation.In this dialectical development of entrepreneurship is an internal mechanism to stimulate entrepreneurial activity.
This should develop entrepreneurship in all directions.In this regard, the State must take into account the autonomy of the business, while at the same time to regulate its activity.State enterprise is advisable to develop in those segments of the economy where private business is simply not able to fulfill the tasks defined by the needs of society.
In science has developed several areas where private enterprise can be an important factor in economic life, in the context of structural economic mechanism of the country and regionally.
World experience shows that the effective development of a wide variety of forms of entrepreneurship is an objective indication of development of the entire economic system.Enterprise has a number of specific properties that contribute to the acceleration of economic processes and distinguish it from other elements of the market economy.Entrepreneurship is a "troublemaker" and all the time, as it takes the economy into a new qualitative state.It is in business generated by the mass of resources that are the drivers of economic growth.The system features business from this perspective, it can be represented as follows:
Building wealth of society - the production of goods as a constant increment of the total wealth of society;increment of intelligence as the most important factor in the development of the economy;
Participation in national programs - allocation of funds for the implementation of social development programs of the Company;
participation in public policy of employment - the opening of new production facilities or the expansion of production;
Ensuring environmental safety of goods and services and taking responsibility for the environmental damage their goods and services;
Expansion of production capacity and output to a new level - the improvement of technology and production management methods;
Profit - ensuring break-even operation of the firm;
Innovation activity - the constant search for new solutions in the production, organization and management and focus on scientific and technological progress;
Cost reduction - identifying the internal costs of the business, the use of the opportunities offered by external factors.
competitive market - determination of the tactics and strategy of behavior in the market;
Reduction of losses - the development of non-waste production;
carrying the risk and responsibility - the desire to insure themselves against the risks or opportunities to distribute them.
Thus, the functions of private and public business, not only for combination, but also can effectively how to complement each other, and replaced with the appropriate requirements of the economic system of society.
