Title: Small and medium enterprises and obstacles to public procurement: lessons learned for Balkans

Authors: Jelena Budak; Edo Rajh; Suncana Slijepcevic

Addresses: Institute of Economics, Trg J.F. Kennedy 7, 10000 Zagreb, Croatia ' Institute of Economics, Trg J.F. Kennedy 7, 10000 Zagreb, Croatia ' Institute of Economics, Trg J.F. Kennedy 7, 10000 Zagreb, Croatia

Abstract: This paper offers the empirical assessment of issues in public procurement as experienced by the participating SMEs and public procurers and agencies in Bosnia and Herzegovina (BiH). The weaknesses of the system are identified by comparing opinions of both suppliers and procurers based on a large set of survey data and structured interviews. The research analysis showed slight variations in opinions among micro, small and medium-sized companies as well as significant differences among the opinions of successful and unsuccessful bidders. The main reason why SMEs do not have confidence in the public procurement system is corruption related. Other Balkan countries, which are in the process of accessing the EU and struggling with corruption, may find lessons learned from BiH instructive in order to improve national public procurement systems.

Keywords: public procurement; small and medium-sized enterprises; SMEs; obstacles; corruption; business survey; procurers; successful bidders; unsuccessful bidders; Balkans; Bosnia and Hercegovina; micro enterprises; national procurement systems.

DOI: 10.1504/WREMSD.2017.083022

World Review of Entrepreneurship, Management and Sustainable Development, 2017 Vol.13 No.2/3, pp.178 - 193

Received: 04 Dec 2015
Accepted: 22 Dec 2015

Published online: 18 Mar 2017 *

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