Problem

Discouraging conditions for small business


Experimental visualization of narrower problems
Other Names:
Potential business discouragement
Nature:
A large number of government and social restriction to the creation of small business discourage the development of new businesses and the slow down and stagnation of the national economy. The tax structure of the country may deter investment in small businesses. High corporate taxes deter the creation of new companies. High personal taxes for executive discourage individual from becoming managers. Future profits may be taxed. Penalties for underestimating tax bills may be high. Government repayment of over paid taxes may be slow, further disrupting cash flow. Inheritance taxes may be high. The employment structure may discourage the growth of companies. An extremely large number of professions needing to be certified slows the growth of the professions and burdens employers. Small businesses may be required to hire only union members. Social costs and employee taxes may prohibit hiring additional employees, stopping growth. Commercial skills may be lacking. Technically qualified entrepreneurs may lack business skills. The education system may no offer sufficient commercial or business education. The financial climate may discourage new businesses by limiting access to loans.
Problem Type:
D: Detailed problems
Date of last update
01.01.2000 – 00:00 CET