SMEs Networks

Small and medium sized Enterprises Networks are a focus area for BSR Stars

Small and medium sized enterprises (SMEs) are the backbone of Europe’s economy: there are 23 million SMEs in Europe representing around 99% of all undertakings, and 57% of them are sole proprietorships. They provide two thirds of total private-sector employment represent 80% of the total job creation and produce more than half of the EU added value.

Therefore SMEs are important for future economic growth. The countries around the Baltic Sea Region (BSR) need more companies that grow and produce goods and services that are competitive on a global market. This is a fact for most European countries and is also highlighted within the work of the European Union.

It has been shown that SMEs cooperating with other companies are more competitive and that companies that are cooperating within networks show better performance than companies outside such networks. Still, quite a small proportion of SMEs are working systematically with network activities.

BSR Stars supports and strengthens international collaboration between existing SMEs or SMEs’ networks and facilitate new ones with the aim of strengthening the innovation capacity of SMEs and helping them to find new business and market opportunities leading to increased competitiveness and growth. Please find existing lists of SMEs networks under the headline Documents to the left side of this page.

The strategic idea is to establish and strengthen transnational SMEs’ networks and collaboration in order to foster innovation and new business opportunities. This will be done through:

• Facilitation of business driven international cooperation between SMEs’ networks
• Strengthening innovation via transnational collaboration projects
• Strengthening competence networks of SMEs in the BSR
• Strengthening the linkages within the region and outside the region.

The benefits of transnational SME networking can be as follows:

• Cooperation in networks can help to expand the home market, as well as to explore and access new markets
• Networking provides access to new knowledge and competences that generate innovations, creating a learning development structure within networks and individual SMEs
• Networking provides better access to various financing sources
• Cooperation enables SMEs to realize larger projects and gain new customers by providing package of solutions
• SMEs networks can provide better access to R&D institutions and expertise
• SMEs joining forces in networks will be more attractive as partners for large companies, and thus getting access to new business possibilities
• SMEs networks provide the opportunity to reduce risks with sharing cost for development activities. Such cost is quite often a hindrance for an individual SME, but affordable in a joint process within a network
• National and regional SME networks are often the basis and driving force in the development of transnational networks

For more information about the SMEs Networks in the Baltic Sea region please contact:

Vilma Puriene, Ministry of Economy of the Republic of Lithuania
E-mail: Vilma.Puriene(a)ukmin.lt, phone: + 370 706 647 51