G. Kavvathas: Enhancing ‘cooperation’ between small enterprises is a key condition for their sustainable operation

Entrepreneurship is changing rapidly and in the age of “digital transformation” and the “green transition”, the pace of small and medium-sized enterprises must accelerate. Their access to appropriate and targeted funding tools is maintained, despite the efforts made, as a first priority, as noted in an interview with APE-MPE by the president of the General Confederation of Professional Craftsmen of Greece George Kavvathas.

“The 4th Industrial Revolution concerns not only the exponential development of emerging technologies but also mainly their application in production processes but also their wider diffusion in terms of economic, business, commercial and social activities” says Mr. Kavvathas, emphasizing that “the “Investing in the integration of new technological systems, reorganizing production processes and adapting business models requires access to finance, the extent of which, as we know, is extremely limited at the level of small businesses.”

In addition, as he emphasizes, strengthening “cooperation” between small businesses, which is a key condition for sustainable operation and development, requires broader and different (holistic) initiatives in terms of funding, strategic leadership, business capacity building and support agencies that will facilitate the development of productive modernization, and business development actions.

But in addition to funding, important conditions for the technological and digital adaptation of micro and small enterprises, as the president notes, are the development of new complementary business capabilities and new skills that will make technological utilization efficient, as well as the development an enhanced degree of innovative capacity that will “translate” technological adaptation into added value through new processes, products, services and business models. Finally, Mr. Kavvathas emphasizes that although the pandemic crisis did not bring padlocks, mainly due to the support measures implemented. However, the prolonged period in which a significant part of the companies remained closed or under-operated has disproportionately aggravated the situation. Therefore, in order not to jeopardize the viability of these companies, it is necessary to reinstate some of the support measures implemented in the previous period.

Source: AMPE