What is the general institutional setup of SMEs?

According to the articles of association, directors, shareholders, supervisors and managers are needed. In fact, directors are executive directors and managers, who distribute among shareholders. Party committees (branches) may be established as needed. Generally, CEOs don't call them managers or sensible people. Small and medium-sized enterprises generally do not have coo.

Traditional industries —— Industry characteristics and financing strategies of small and medium-sized enterprises; Most small and medium-sized enterprises in traditional industries are labor-intensive. These enterprises have more liquid assets, less operational risks, lower organic capital composition and average technology content. Therefore, they can choose a higher financing risk among the financing risks, that is, they can determine a higher debt ratio. However, due to the fact that enterprises take labor as the main factor of production, the scale of enterprises is small, the fixed assets are few, and the assets that can be used for creditor's rights preservation are seriously insufficient, which often leads creditors to be in an embarrassing position when asking small and medium-sized enterprises for collateral to ensure the safety of funds. Therefore, they should be selected when determining the debt financing methods.

According to the definition of enterprise in China, enterprises with annual turnover below 500 million belong to small and medium-sized enterprises. Therefore, the number of small and medium-sized enterprises in China accounts for the vast majority, which solves most of the employment, but accounts for a small proportion in the whole economy.

Generally speaking, the strategic management of large enterprises usually has a clear and formal process. Full-time senior members rely on strategic management to organize the operation of enterprises and make positive responses to complex and dynamic environments. The scale factor of enterprises leads to the difference between the strategic management technology of large enterprises and that of small and medium-sized enterprises, while the strategy of small and medium-sized enterprises is rarely formal, and sometimes it may even be hidden and unclear.

According to the research of foreign scholars, the strategy of SMEs has the following characteristics: 1. Strategies are usually formed suddenly, not designed in advance, and the strategic process is usually driven by crisis. 2. It belongs to an intuitive and empirical strategy, which is influenced by the personality, values and ambitions of entrepreneurs. 3. The formulation process, strategic document and implementation process of strategic plan are usually informal and random. For SMEs, strategic planning is usually similar to the decision-making process of planning. 4. Long-term planning plays a small role in management, while short-term planning plays a big role, so long-term strategy is generally ignored and only short-term strategy and plan are concerned. 5. Strategists only communicate with stakeholders, not employees. Too many strategies of enterprises reflect the maximization of enterprise profits, not the maximization of enterprise value, and employees' strategic attention to enterprises is very limited. 6. The historical success of an enterprise directly determines its strategic positioning. The more successful an enterprise is, the clearer its strategic awareness and strategic choice will be, and the more obvious its competitive advantage will be. 7. The information of strategic decision mainly comes from private individuals. Strategic decisions often lack convincing analysis and do not take feedback and evaluation. Strategy embodies more inspiration and brainwave, and lacks dialectical grasp of the environment. 8. The influence of strategy on organizational structure is limited, and small and medium-sized enterprises are not generally adopted by large enterprises. In the initial stage of the life cycle of small and medium-sized enterprises, the organization has no structure or its structure is informal. When the enterprise develops to a certain stage, the organizational structure becomes necessary, and the enterprise pays less attention to business process reengineering and enterprise reengineering in the process of strategic implementation. 9. The strategy is flexible. Due to the uncertainty of the external environment, the strategic period of small and medium-sized enterprises is usually short, so as to make flexible use of future opportunities or avoid external threats.

From the strategic results, SMEs have good strategic adaptability and strong ability to grasp the opportunities provided by the environment, but they show helplessness at a deeper level; Enterprise strategy has stages, but it is not forward-looking and overall, and its sustainable development ability is not clear, which is closely related to environmental risks; Enterprise strategy is greatly influenced by enterprise history, but not enough attention is paid to the future of strategy; Strategic implementation pays little attention to enterprise reengineering or process reengineering; To some extent, the enterprise's strategy is shallow, while the deep strategy is vague; The strategy of an enterprise is obviously related to its life cycle.

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