Social and economic system of regional entrepreneurship as the object of strategizing

Abstract

To realize the potential of regional entrepreneurship as a system of small and medium-sized enterprises (SMEs) of the region it is essential to develop a successful winning strategy oriented towards rapid exploitation of new opportunities. To this end, it is necessary to clarify the essence, boundaries, structure, and functions of the object of strategizing. The research is based on the general theory of strategy and methodology of strategizing, the theories of entrepreneurship, the systematic approach. The authors study approaches and theories that explain the essence, the functions and the structure of the system of regional entrepreneurship by applying systematization and content analysis methods. While analyzing the theories of entrepreneurship four components of the strategic mission of SMEs have been defined as follows: providing guarantees to partners, movement and productive use of factors of production, implementation of innovation, creation of gazelle companies (with the average annual increase in revenue or employment of more than 20% over 3 years). The study has shown that they are not fully implemented, and so the situation requires developing a new strategy or improving the old one. And the strategy of development of entrepreneurship in the region should contribute to the implementation of higher-level strategies (regional and sectoral). Moreover, the strategy should define the basic policies for strategizing the components of regional entrepreneurship – individual enterprises, clusters, different types of activities. The study offers a structural and logical scheme of relationship of the strategy of development of regional entrepreneurship (on the example of Kemerovo region – Kuzbass) with other strategic planning documents. Also, the authors justify the expediency of differentiation of  strategic priorities of traditional and innovative entrepreneurship in the region. The analysis of theoretical foundations of exploring entrepreneurship as the object of strategizing has made it possible to clarify the basic components of its mission and justify the place of the corresponding strategy in the general system of strategic planning documents. Clarification of the boundaries and the content of the system under study ensures moving on to the strategic OTSW-analysis. The findings of the study can be used in justification of strategic decisions of entrepreneurs and regional authorities.