The purpose of this paper is to compare efficiency and productivity growth between small-medium enterprises (SMEs) and large enterprises in knowledge-based manufacturing, and to examine determinants of efficiency and productivity growth in SMEs and large enterprises. The technical efficiency of large enterprises is higher (0.918) than that of SMEs (0.852) in knowledge-based manufacturing for 1993～2003. Scales of SMEs mostly belong to increasing return to scale (IRS), while those of large enterprise are globally decreasing return to scale (DRS). The productivity growths of SMEs and large enterprises were 1.4% and 5.2% respectively. Coefficient of labor and ratio of production cost for output in determinants of technical efficiency of the SMEs and large enterprises are all negatively(-) significant. Especially, efficiency of plant and equipment investment and ratio of product workers for overall workers are positively(+) significant. The last year technical efficiency, coefficient of capital, and ratio of production cost for output in SMEs and large enterprises are negatively significant against the productivity growth.

To specifically identify the business activities of the self-owned business of Koreans in Japan in the viewpoint of network theory, this study analysed sale and distribution, production and purchase, technology and information, labor, and financial sectors in the self-owned business of Koreans in Japan based on questionnaires collected through survey.
As results of empirical analysis, the self-owned businesses of Koreans in Japan have difficulty in doing their business activities in the long-run depression of Japanese economy, but consistently have grown in spite of the rapidly changing environment of Japanese economy, and also largely contributed to job-creating, income-rising and the development of Korean society in Japan.
And then, some of the big sized self-owned businesses rank the top position of Japanese business circles in sales and competitiveness, and actively transact with Korea in trade, investment and etc. This study suggests useful implications for Korean firms and government in theoretical and managerial aspects based on these results of empirical analysis.

Purpose of this study is to find improved financial services for micro enterprises, particularly for women’s micro enterprises. Access by the micro enterprises to financial services is very limited and that by women is more limited than that by men. The main reason for limited access to capital is lack of collateral. Other than lack of capital and information, women enterprises suffer from lack of professional management skills and business network.
Microcredit programs and policies are suggested as an alternative solution to this problem of women micro enterprises. As used successfully by world recognised Grameen Bank and ACCION or by Social Solidarity Bank in Korea, systematically integrated microcredit systems provide financial services without collateral, entrepreneurial consultation and social support for micro enterprises that are considered essential for the success of micro enterprises.
Under the auspices of SMBA, Korean Women Entrepreneurs Association (KWEA) and Small Business Development Center (SBDC) work as the major institutions for women enterprises, large or small. The adoption of microcredit approach by the existent or new service institutions can cater the long-ignored needs of these micro businesses related with their financial and managerial handicaps.

The main purpose of this study are twofolds. First, this study reviews the start-up business problems. Second, this study also suggests incorporation establishment system improvements to promote start-up business.
According to the recent start-up business study, we should go through 16 steps to register a firm. Moreover, 48 copies and 33 types of required documents are needed for business promotion. The expenses of incorporation costs about 1,005,000 won. This study implies that such high costs and numerous required documents, which are needed in course of incorporation, are due to the following reasons; the maintenance of Minimum Capital system of commercial law which is abolished in the advanced countries, fraud payment to observe the Minimum Capital system by borrowing private loan, request for document preparation and process proxy to judicial scrivener, and performance of legal formalities according to special law aside from commercial law.
In order to promote start-up business from now on, the government should drive system reforms such as the abrogation of Minimum Capital system, standardization of incorporation related documents, abrogation of related document notary duty regarding incorporation, exemption of bond purchase regarding incorporation registration request, and etc.

This study investigates the causes of productivity gap between large and small and medium enterprises(SME). The existing large gap between large and SMEs in Korea is a significant problem. This fact is a base for the Korean Government Policy on SMEs.
Using the Report on Mining and Manufacturing Survey during 1980～2002, this study finds that it is not because that SMEs did something wrong, but large enterprises did well.
There were a large reduction in the number of firms and workers, but an increase in per capita stock along with upgrading of industry structure in large enterprises. But SMEs succeeded in keeping the productivity increase high in spite of large gain in the number of firms and employees.
In comparison with the advanced countries, the labor productivity of SMEs of Korea did well considering the level of per capita GDP.

This study investigates how cooperative rather than coercive power difference affects the negotiation process and its outcomes. It was found that the negotiators with more cooperative power did not exploit their counterparts with less power and that these dyads achieved fairly equal outcomes. However, the negotiators with more competitive power did exploit their counterparts with less power. In terms of joint outcomes, dyads with competitive power difference obtained higher joint outcomes than dyads with a cooperative power difference. The latter dyads enlarged the pie, but the expanded pie was taken by the negotiator with more coercive power. The implications for negotiations between big and small companies are discussed.

This study tried to examine the effect of supplier network based collaboration on the technological innovation of small and medium-sized firms. Based on a sample of 492 small and medium-sized firms in Korean southeast area, this study considered the innovation-related inter-firm collaboration as the determining factors of innovation performance.
Empirical result shows that while market oriented firms are more likely to collaborate with competitors, subcontracting firms are more likely to collaborate with customers. It also shows that innovative small firms are significantly more likely to be subcontracting oriented, which suggest that supplier networks work as an effective knowledge transfer channel. And the more dependent a firms is on the dominant customers the more likely is incremental character of their innovations. Instead firms networked in widely customer scope is considerably more likely to innovate fundamentally. It suggests the importance of inter-firm dynamics, attitude and expectations in facilitating successful collaboration between large firms and their suppliers.

In this paper, we test empirically the effects of retained earnings on dividend policy of small firms listed on KOSDAQ market. The main results of this study can be summarized as follows. Higher retained earnings variables have a significant positive impact on the probability that a firm pays dividends, controlling for leverage, profitability, sales growth, dividend history, firm size, and free cash flow. And, higher retained earnings change variables have a significant impact on the probability that a firm decides to dividend increase or dividend decrease.
Conclusively, these results support the evidence that retained earnings have a highly significant relations with dividend policy. And all our evidence supports a life cycle theory of dividends, in which a firm's life cycle stage is captured by its mix of retained earnings and contributed capital, so that dividend payers tend to have high retained earnings relative to contributed capital.

The objective of our study is to examine whether SBC(Small Business Corporation) policy funding programs have contributed to the financial performance of interested small firms and to suggest the proper direction of SBC funding programs by government in the future.
Our main findings based on research period from 1999 to 2004 and 1,181 firms/ year are as follows: First, the first year income of interested small firms favored by SBC policy funding programs do not increase relatively but the next year income of those firms begin to increase relatively higher in comparison with other firms. This result suggests that the SBC policy funding programs should be uted from the more long term perspective. Second, we divide interested small firms into high and low firms based on the debt ratio and we find that only high debt firms show the positive financial performance by SBC policy funding programs. This result implies that SBC funding policy programs are more effective and contributive in case of high debt small firms which may have more difficulty in financing. Finally, we find that the more amount of SBC policy funding programs on high debt small firms are, the higher financial performance of favored firms are shown.
Our findings indicates that SBC policy funding programs have the most positive effect on the financial performance of relatively high debt firms, which suggests that SBC policy funding programs should be performed on the basis of more careful ion and focus perspectives.

This paper aims to investigate the relations among the motivation to start ups of women entrepreneurs, critical success factors, and performance in women owned firms. 228 women business owners were drawn at random from the membership directory of KWEA(Korea Women Entrepreneurs Association). For analyzing the relationship of them, the start-ups of three motivation factors categorized with entrepreneurial opportunities, independence and income, and realizing an ambition and achievement. Also, four critical success factors classified into family support and understanding of culture, communication skills and knowledge of business, product/service advantage and management availability, and availability of resources.
As a result, we found some statistically significant effects between the critical success factors and motivation factors, and they sequentially affects to performance. That is, as a presented with previous research, there is verified that motivation factors of women entrepreneur's is caused by push and pull factors. Also, critical success factors significantly affect to business performance.
Some guidelines for practicing women owned small business as a result of this would include; first of all, it is important to support the women owned start-ups consulting approach in gender perspectives; secondly, effective start-ups consulting programs for women entrepreneurs should be developed for positive impacts of according to these results.

The purpose of this study is to survey the successful cases of korea traditional retail market small businessmen entrepreneurial characteristics and analysis on the factors affecting the success.
To achieve such objectives, previous studies on the analysis of korea traditional retail market small businessmen entrepreneurial proclivity and management renovation were studied and put together. Research model was developed and on the basis of this model research hypotheses for empirical analysis were set up.
The characteristics of entrepreneurial proclivity will be analyzed by means of such three variables as proactiveness, risk taking and management experience variables. management renovation will be analyzed by means of such four variables as product value, merchandising, distribution activities and brand.
We obtained a master list of 300 small and medium companies that identified traditional retail market small businessmen. Questionaries were collected sent to the 250 valid questionaries were collected and used.
The finding of this study are as follows;
First, the research showed that entrepreneurial proactiveness is positive affect to the product vaule, merchandising, brand publicity. and business performance. Entrepreneurial risk taking is positive affect to the distribution activities
Second, product value is positive affect to the merchandising and brand publicity.
Third, brand publicity of the management renovation is positive affect to the business performance.
In the process of research, this study draws out strategy to discriminate the korea traditional retail market small businessmen management characteristics and analysis on the factors affecting the success.

The credit guarantee program is an economic and political mechanism that assists and defends minor enterprises but there has not been any model or empirical analysis on the size of the program. This paper is a time series empirical analysis based on a model where there is an infinite demand for security with limited supply. In the empirical analysis, national income, second power of national income, and default rate are statistically significant. The negative sign of the second power of national income will reflect the natural inverse relationship between national income and credit guarantee.