ANALYSIS OF BARRIERS FOR BUSINESS START

Abstract

Entrepreneurship is one of driving forces for economic development, in European Union it has to be paid more attention to keep competitiveness in the world. Various aspects of entrepreneurship including on barriers for business start are covered in research world-wide. The aim of the current paper is to analyse barriers of new business starters in Latvia. The tasks of the current research: analysis of theoretical findings in scientific publications; analysis of new business starters views on barriers for business start; to perform statistical analysis of new business starters evaluations on business barriers. Research methods: scientific literature studies, survey of entrepreneurs in the business start phase in Latvia (survey was conducted in the period between October 2013 and March 2014, the number of respondents 209). In survey for most of questions evaluation scale 1 – 5 is applied. For data processing descriptive statistical indicators, cross tabulations, factor analysis, Mann-Whitney U test, Kruskal Wallis test are applied. The key results: in Latvia entrepreneurs as the serious barriers for business start evaluate – unreliable employees, complex and confusing tax system, weak economy, availability of long-term financial capital. The complex factors – barriers for business start are: infrastructure and unsafe environment; knowledge and skills in management; business environment; lack of financial resources.

DOI: http://dx.doi.org/10.5755/j01.eis.0.10.14570