Strategies of the Development of Entrepreneurship and SME

3. Hamel, G., Prahalad, C.K. (1994), Competing for the Future: Breakthrough Strategies for SeizingControl of Your Industry and Creating the Markets of Tomorrow, Harvard Business Press, Boston,MA.2. Hofstede G. 2001 Culture's Consequences: Comparing values behaviors institutions andorganizations across nations 2 nd edition. Sage. Thousand Oaks3. Mintzberg, H. The rise and fall of strategic planning, Prentice-Hall, Hemel Hempstead, UK (1994).4. Ralston, D. et al, 2005. How do you climb the corporate ladder? A multi-regional analysis of theethical preferences for influencing superiors. Academy of Management Best Papers Proceedingsand International Division Best Paper Finalist, Honolulu, HI5. Porter, M. (1979) "How competitive forces shape strategy", Harvard business Review, March/April1979.6. Porter, Michael, 1990. The Competitive Advantage of Nations. New York: Basic Books.7. Scott, W. R. (1995 and 2001). Institutions and Organizations. Thousand Oaks, CA, Sage8. World Transparency Year Book 2006http://www.transparency.org/news_room/in_focus/2006/cpi_2006__1/cpi_table9. GNI, Atlas method, WDI-200610. http://devdata.worldbank.org/wdi2006/contents/Statisticalmethods.htm5. PREVENTING CONFLICT IN CAUCASUS VIA ENTREPRENEURSHIP AND SMEDEVELOPMENT – REVIEW OF THE SME SECTORS IN ARMENIA,AZERBAIJAN AND GEORGIA 215.1 CHARACTERISTICS OF THE CAUCASIAN TRANSITION ECONOMIESThe three countries of the South-Caucasus: Armenia, Azerbaijan and Georgia lie to thesouth of the principal Caucasian mountain range, and situated on the crossroads betweenEurope and Asia they absorbed the culture of both and cannot to this day decide with whichthey have greater affinity. All three were absorbed after 1917 by the Soviet Union and weremade to bear the effect of 70 years of Soviet rule. Together with the other republics theygained independence in 1991.Armenia was highly industrialized and specialized in high technology sectors, such aschemicals, electronics, software and engineering, whose production was exported to the otherSoviet Republics, making Armenia vulnerable to events elsewhere. Human capital was highlydeveloped, income equitably distributed, and most social indicators (life expectancy, literacy)high; business skills, however, were in short supply.Azerbaijan was famous for its mineral resources (mainly oil and gas), with fertileagricultural land, and a well-educated labour force with a strong entrepreneurial tradition.Georgia exported agricultural products and imported energy-intensive industrialproducts from respectively to the former Soviet Union and was a popular tourist destination forthe region.The Caucasus has always been considered a significant strategic and geopolitical region.And discovery of oil on the Caspian Sea shelf not only put the Caucasus on the map as one ofthe most economically important regions in the world. Despite these economic gains, theregion continues to face ethnic problems, which may play a negative role in the oil industry,and cause great concern over the future transport of oil to the global markets. Indeed allconflicts have their historical, social, economic and other roots. Yet the ongoing ethnic conflictin the Caucasus is the result of other, specific geopolitical factors. As a bridge between Asia andEurope, the Caucasus is also a frontier separating Christian and Muslim worlds. For a long time,21 Prepared by Dr. Antal SZABÓ, UNECE retired Regional Adviser on Entrepreneurship and SMEs and Dr. AnnaPetrosyan, Expert of the SME Department of the Ministry of84