The Role of Small Firms in Indonesia

T. Tambunan


This study examines the development potential of small firms which provide the bulk of employment in the manufacturing sector in Indonesia. The development of these firms during the period 1974-86 is looked into in terms of the number of establishments, employment and value added, as well as their relative importance in terms of income generation. Finally, the various factors affecting the growth and development of small firms are explored for their policy implications.

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