The Historical Evolution of Small and Medium-Sized Enterprises (SMEs) in Greece: The Exploration of Growth Policies Aiming to Accelerate Innovation-Based Economic Transformation and Knowledge Economy

Abstract

The aim of this paper is to highlight the importance and resilience of small and medium-sized enterprises (SMEs) in the Greek economy through a mixed method of primary and secondary quantitative data analysis. In tandem, the critical importance of adopting the appropriate policy measures for SMEs is discussed as a fundamental precondition for sustainable development and economic democracy. In this context, aspects and dimensions of the business environment for the operation and growth of SMEs in Greece are presented. The paper analyses several policy aspects that accompany the dominant economic policy choices during the last decades. In this light, it seems over time that in terms of economic policy, SMEs, despite their significant contribution to the entrepreneurship ecosystem, are mainly approached either as a growth obstacle or a structural weakness of the Greek economy. However, given the socio-economic importance of SMEs, the shift towards a new knowledge-based growth model of the Greek economy needs to consider their significant historical, economic and social role. In conclusion, the need to formulate targeted policy measures to support SMEs is discussed, focusing mainly on cooperation, financing, digital transformation and green transition.