Areas of improvement of the regulatory policy of small business development in rural areas

Keywords: rural territories, small business, regulatory policy, development


There is a difficult economic and social situation, especially in the formation and functioning of the small business sector at the present stage of development of the state in rural areas. Insufficient consideration the specificity of rural areas during economic reforms exacerbated their labor relations, unemployment has led to a significant scale. Implementation of the socio-economic and cultural development programs of communities in these cities did not provide financial resources. The importance of economic mechanisms determining future development of rural areas is increasing due to the role of local authorities in connection with the transfer to the regions many functions and powers of the management of socio-economic development that strengthens the influence of local communities on the formation of the town-forming base and the scope of employment. The study used general scientific and special methods groupings, logical analysis, strategic management, economic modeling, systematic and comparative analysis. It was shown that activation of participation of rural areas in business allows for socio-economic development of territories and surrounding rural areas, increase employment, reduce the amount of mass migration and outflow of active population abroad, suspend the process of reducing the level of quality employment capital. Proved that the development of small businesses in rural areas is a significant reserve for further business development in Ukraine and bringing it closer to the performance level of the developed countries. It was established that the level of entrepreneurship in rural areas is low, increase excessive imbalances in the distribution of economic potential of the regions between the regional centers and rural areas and districts, imperfect is the branch structure of the economy and low innovation activity of enterprises of rural areas and districts which negatively affects the socio-economic development of regions and the state as a whole. Based on the relevance and timeliness of small businesses in small towns, and later in rural areas, the strategic objectives of the state policy of small businesses in rural areas of the world experience. In further studies attention should be paid to the problem of implementation of government programs and strategies for the development of small business in foreign countries for their effective implementation in Ukraine, as well as problems of efficient funding of such programs through the budgets of different levels.


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How to Cite
Vasyltsiv, T., Rudkovsky, O., & Yusypovych, O. (2019). Areas of improvement of the regulatory policy of small business development in rural areas. Scientific Messenger of LNU of Veterinary Medicine and Biotechnologies. Series Economical Sciences, 21(92), 75-80.