Development of SME in ASEAN with Reference to Indonesia and Vietnam
Tulus Tambunan, Tran Tien Cuong, Le Xuan Sang, & Nguyen Kim Anh
Based on secondary/government data and key literature, this paper aims discuss recent development of small and medium enterprises (SMEs) in ASEAN countries. By focusing on SMEs in two member states, i.e. Indonesia and Vietnam, this paper addresses two issues: their contributions to the economy and their main constraints. It shows that their importance in the economy in the form of their contribution to the formation of gross domestic product (GDP) varies by country, depending on many factors including government supports and main constraints. With respect to the latter, their constraints include lack of finance. The paper ends with some policy implications.
Key words: SMEs, Indonesia, Vietnam, constraints, ASEAN