The Role of Business-Service Offices in the Economy of Medium-Sized Cities

1987 ◽  
Vol 19 (5) ◽  
pp. 669-686 ◽  
Author(s):  
J H J van Dinteren

In the Netherlands over the last fifteen years business-service activities have decentralized towards the intermediate provinces and the regions around the large cities in the west. A survey, based on postal questionnaires, was conducted to analyze this sector in thirteen medium-sized cities in the intermediate provinces. Work in this paper centers on the role of the business-service offices in the urban economy. From Pred's information-circulation theory it is argued that this role can be demonstrated by the following measures: the amount of local inputs, the degree of external control, the size of regional exports, and the size of the business-service sector (both in terms of employment and establishments). It is demonstrated that business services are not so reliant on a local market and on the manufacturing sector as has been assumed formerly. However, there are differences between the different types of offices. In a consideration of the role of business services in the economy of medium-sized cities it is shown that there are important variations between the cities studied. Initial advantages, the region in which the city is situated, planning policies, and the nature of the market are some factors accounting for the variations. Given the strong degree of regional export orientation, the intermediate function of business services and their recent and possible future growth, these results suggest that regional and urban policies, which in the Netherlands concentrate on stimulating indigenous development opportunities in the cities and regions themselves, need to reexamine the role of business services in the economy.

2018 ◽  
Vol 63 (05) ◽  
pp. 1175-1182
Author(s):  
CHU-PING LO

This paper adds business services to Feenstra and Hanson’s (1996) model to show that if a country is more prosperous in business services, tending to carry out less international outsourcing activities than it would otherwise. In this model, the more varieties of specialized business services a country endows, the more welfare gains arise in the presence of positive production externalities to the manufacturing sector. Since developed countries are more prosperous in business service sector, this model helps to explain why the impact of opening trade on the dispersion of both wages and unemployment is stronger in developing economies.


1983 ◽  
Vol 15 (8) ◽  
pp. 1101-1120 ◽  
Author(s):  
P W Daniels

There are only a few studies of business service activities and most have concentrated on the behaviour of these activities in large cities. By taking a wider cross section of urban areas, this study explores some possible sources of variation in the role of business services in local economies with particular reference to the location and control of these services. Low-growth cities with a large proportion of their business services under external control show a limited amount of new-firm formation since indigenous firms are outnumbered by about two to one. Nonindigenous firms are significantly more likely to set up new branches or to relocate existing ones. The ratio of indigenous to nonindigenous business services in each urban area is significant for the location, status, function, and other changes reported by establishments. Many of these changes are a response to market adjustment or a need to ‘colonize’ new areas. The types of change, particularly of location, are also significantly related to office function. Provincial business services have shown a propensity to expand their employment, but this may only reflect the general trend since 1975. The role of London as the location of headquarters controlling provincial business services is far from dominant.


1983 ◽  
Vol 15 (10) ◽  
pp. 1343-1359 ◽  
Author(s):  
J N Marshall

Business-service activities are poorly represented in provincial areas of the British economy, and this acts as a constraint on the economic growth of these locations. This argument is developed in a survey investigation of business-service offices in the conurbations of Manchester, Leeds, and Birmingham. It is argued that external control is an important feature of the business-service sector, and that the organisational structure of multisite service firms influences the supply of business services. The importance of indigenous employment growth and industrial movement in provincial cities is examined. It is suggested that some business services generate regional exports, and should therefore, be given regional policy support.


2007 ◽  
Vol 8 (2) ◽  
pp. 188-210 ◽  
Author(s):  
Carol Corrado ◽  
Paul Lengermann ◽  
J. Joseph Beaulieu ◽  
Eric J. Bartelsman

Abstract This paper introduces new estimates of recent productivity developments in the United States, using an appropriate theoretical framework for aggregating industry multi-factor productivity (MFP) to sectors and the total economy. Our work sheds light on the sources of the continued strong performance of US productivity since 2000.We find that the major sectoral players in the late 1990s pickup were not contributors to the more recent surge in productivity. Rather, striking gains in MFP in the finance and business service sector, a resurgence in MFP growth in the industrial sector, and an end to drops elsewhere more than account for the aggregate acceleration in productivity in recent years. Further, some evidence is found for a link between IT intensity and the recent productivity acceleration.


10.1068/c0050 ◽  
2002 ◽  
Vol 20 (2) ◽  
pp. 235-249 ◽  
Author(s):  
Monder Ram ◽  
David Smallbone

The advent of the Small Business Service (SBS) has been accompanied by a renewed interest in ethnic minority enterprise. The content, nature, and efficacy of engagement processes with ethnic minority business (EMB) are likely to be important criteria for the granting of local SBS franchises, if the support needs of EMBs are to be successfully identified and responded to in the light of community and socioeconomic differences. This imperative has thrown into sharp relief unarticulated assumptions upon which policy towards EMBs has been, or should be, constituted. A review of these policy questions, and an assessment of the way forward, is long overdue. This is the key aim of the paper. In addressing this task, the authors draw upon a range of recent and ongoing studies of different facets of EMB activity, focusing in particular on the policy dimension. The discussion is divided into three main sections. First, there is an assessment of the support needs of EMBs. A key question is the extent to which such businesses are distinct from the general small firm population; and whether differences can be attributed to other factors, such as size and sector. This issue has implications for the delivery of business services; in particular, should services be delivered within existing ‘mainstream’ business support institutions, or through agencies predicated upon notions of ethnic differentiation? Second, issues and lessons from previous policy initiatives are considered. In particular, the role of specialist agencies, urban regeneration initiatives, and business-led organisations are assessed. After considering issues emerging from extant studies, part three identifies elements for a more coherent policy towards EMBs. Such a policy should include: clearer objectives; placing support EMBs within mainstream provision; an engagement strategy; closer integration between business support and regeneration policies; better access to finance; and more client-focused business support.


One of the chief concerns of Business Service Sector is retaining efficient employees. The recruiting team in an organization spends time on identifying candidates and training them, to equip them to be made suitable for the job. If the recruited staff quits without repaying for what he has gained, it results in a setback for the organization. Higher rates of employee’s turnover, which occurs due to increasing competition in labor market, forces the organization to start its work right from the scratch of hiring, training and fostering new entrants. In addition to the financial loss the organization faces due to employee turnover, there is fading employee morale, transfer of knowledge to competitors, and negative impact on the reputation of the organization. The organizations’ have therefore to adopt suitable retention strategies to retain efficient employees. Responses were elicited from employers working in various organizations in Business service sector to explore the need to adopt retention strategies, identify the retention strategies implemented by them, and to discover the importance given to retention strategies. Suitable statistical techniques such as SPSS 20.0 and AMOS have been implemented to derive at reliable conclusion.


2018 ◽  
Vol 3 (1) ◽  
pp. 1-11
Author(s):  
D.Srinivasa Rao ◽  
N. Sreedhar ◽  
B. Ravi Kumar

The handloom is a traditional craft work of India and it provides employment opportunities to lakhs of people in the rural and urban areas of our country. In the world   women constitutes approximately 50% of the total population but society is still male dominated one.  In India women contributed substantially to the economic growth of the country.The relationship between gender and the economy has considerable importance in Indian society. In general attitude of the people women are second grade citizens and they are makers of food, pickles, papads, masalas etc,. But their role is very important in every economic activity, either it is household work or cultivation or industry or service sector etc,. Like the other sectors the role of women weavers is very much important in handloom sector. Handloom sector is unique in India. The handloom   weaving is household profession, followed by generations. In these households, women play an important role. Handloom sector is the only manufacturing sector in which women producing for women.


Author(s):  
Inese Mavlutova ◽  
Kristaps Lesinskis ◽  
Grigorijs Olevskis

Analysis made in the article allows to conclude that the SME sector of high-tech manufacturing industries plays growing role in solving the problems of employment in developed countries. However, the major problem is that it is capable for only partial compensation of the loss of jobs in labour intensive sectors of the economy. Accumulation of knowledge of the population in industrialized countries together with high levels of computer literacy contributes to the revitalization of business services sellers that are mainly small sized businesses. In the era of fast growing technology industries, in particular related to IT sector, the role of SMEs in economy is increasing as they are main players in start -up communities and IT industries in general. Thus they can growingly contribute to the employment and labour market. The authors proceed from the assumption that service sector, and business services in particular, to a certain extent are capable of absorbing of workforce. This article argues that employment in the service sector in the developed economies is still largely focused on traditional sectors of activity. The purpose of the paper is to investigate latest trends of SMEs role in employment in the developed countries and the role of service sector in stabilizing labour market. Theoretical approaches, statistical data and policy analysis are used to research contemporary labour market trends. Knowledge - intensive services that are important from the point of view of economic dynamics, only start to concur positions in the developed countries.


2021 ◽  
pp. 231971452110207
Author(s):  
Amit Sareen ◽  
Sharadindu Pandey

Among the service sector firms, knowledge-intensive business services (KIBS) are highly innovative. Traditionally, innovation has looked from a product or process innovation point of view. However, companies may also innovate in terms of their administrative processes and organizational structures, and this is referred to as Organizational Innovation (OI). Organizations have network relationships with their Customers (NC), Suppliers (NS), Select Competitors (NCOM) and Investors (NI). These networks are important sources of knowledge, technology and resources. Furthermore, the Culture for Innovation (CI) and Resources for Innovation (RI) within a firm needs to be considered. The study evaluates the role of NC, NS, NCOM, NI, CI and RI on OI. A cross-sectional survey of middle- to senior-level executives in KIBS firms in India was carried out, and it was found that CI and NI have a positive effect on OI, while NC has a moderately positive effect on OI. A culture for innovation in KIBS firms stimulates innovation. Strategic investors are able to bring knowledge from the outside world and thus play an important role in OI. Similarly, client relationships may foster OI as administrative processes, and organizational structures need to be aligned to the needs of the clients.


2020 ◽  
Vol 32 (4) ◽  
pp. 591-613
Author(s):  
Mona Rashidirad ◽  
Hamid Salimian

Purpose The purpose of this research is to explicate the role of dynamic capabilities in the ability of small- and medium-sized enterprises (SMEs) to create value and also investigate the relationship among different dynamic capabilities, competitive strategy and SMEs’ value sources. Design/methodology/approach Empirical evidence based on a survey conducted on a sample of 441 UK-based SMEs was used to test the research hypotheses. Findings The findings illustrate that sensing, learning, integrating and coordinating capabilities play a significant role in SMEs’ value creation, and competitive strategy mediates the impact of dynamic capabilities on value creation. Research limitations/implications This study demonstrates the benefits of understanding the relationship among the four types of dynamic capabilities, competitive strategy and value creation. Moreover, this study contributes to the notion of the contingency nature of dynamic capabilities. Practical implications It offers managers insight into the aspects on which to focus their efforts to enhance their firm’s capacity of value creation. Originality/value While much of the prior studies have conceptually/qualitatively investigated the financial return of uni-dimensional dynamic capabilities of large firms in the manufacturing sector, this study made a significant effort to quantitatively examine the non-financial value potential of SMEs in service sector through four processes of dynamic capabilities.


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