Differences in innovativeness and risk-taking between microenterprises and SMEs: Czech Republic case study

Abstract

The aim of this article is to examine the approach to innovativeness and risk-taking between microenterprises and others (small and medium-sized) in Czech Republic. The findings revealed that the researched entrepreneurs consider innovation policy being part of corporate policy as important. 62% of them regularly develop new products and services, and 38% invest a lot of money into the development of new methods and technologies. The results regarding the approach to risk have shown that 28% of the surveyed business owners can properly manage financial risks in their companies and 45% of them are trying to minimize the negative impact of financial risk by means of reserves creation. Statistically significant differences between microenterprises and SMEs were found both in the approach to innovation and in risk-taking, except the evaluation of ability to manage financial risk. © Ludmila Kozubikova, 2016.