Difficulties in Scaling Up of Small and Medium Enterprises in the Manufacturing Sector in Uzbekistan - Research Proposal Example

? Globalization and Organizational Behavior: The difficulties in scaling up of small and medium enterprises inthe manufacturing sector in Uzbekistan Table of Contents Table of Contents 2 1.0Introduction 3 2.0Research Questions 3 3.0Literature Review Profile 4 4.0Research Methodology 6 5.0Ethical considerations 6 6.0Discussion and Conclusions 7 Works Cited 8 1.0 Introduction The field of globalization in relation to organizational behavior has in elicited much research. This research project will borrow from many scholars who have dealt with the same topic in the past years. The aim of the r research is to understand how globalization has affected the growth potential and growth challenges encountered by small and medium enterprises in the manufacturing sector in Uzbekistan. This will be addressed by looking at globalization concept and analyzing it through the context of organizational behavior and in this the research will focus on the difficulties encountered in scaling up of small and medium enterprises in the manufacturing sector in Uzbekistan. The argument of the research study is that globalization issues have brought up many challenges to organizations, both small and medium, when it comes to scaling up their operations in the manufacturing industry and Uzbekistan has been selected as a population of the study. Organizational behavior does affect firms in different ways but the success or failure of such firms lie in the manner in which management handles this factor within an organization. Empirical evidence will be established in order to substantiate various arguments that will be presented. The study will address two selected research questions; a literature review of the topic will be thoroughly done in order to seek other scholars’ contribution; a research methodology will be formulated to scientifically gather information and tackle data to help present the findings; a discussion and conclusions on the findings will be expounded; and recommendations made. 2.0 Research Questions There will be questions to form the quantitative and qualitative approach. There are two questions identified, which the research study will be seeking to address. These will act as guidance to the research process in order to ensure that no deviations are encountered and thus maintain focus of the study. The questions to be answered in the research are: What are the implications of globalization for the growth of SMEs in the manufacturing sector in Uzbekistan? What are the strategies being pursued by SMEs to seek growth in context of the global business environment? 3.0 Literature Review Profile We have a wide source of literature when it comes to the SMEs’ growth and their adaptation to the global environment. The usefulness of the Uzbekistan’s case cannot be downplayed because of the fact that interaction of SMEs in Uzbekistan with the global environment is quite new. Delmar, Davidsson, and Gartner (2003) found out that firms experiencing high growth did not do so in unison. Heterogeneous phenomenon does exist when growth is measured and this is affected by how they grow as well as their demographic characteristics (Delmar, et al. 189-217). As has been noted in the western countries, the growth and internationalization of SMEs is being prompted as the tool for addressing the current downturn in the economy. Of greater importance is their ability to flexibly adapt to the global environment and this has been attributed to their size. The size gives them the adaptability and flexibility characteristics which are essential ingredients in coping with the external business environment and the changes that do occur. The growth of SMEs presents complex and rigid scenarios in terms of business processes and operational practices. As such, growth becomes a major dilemma yet when it comes to the global environment; growth is a major recipe for exploiting the opportunities and building the capacity to resist alliances or ventures aimed at consolidating them and even ultimate takeovers by larger organizations. Christopher Bartlett and Sumantra Ghosbal noted that having a limited organizational capacity is a major undoing for international companies in their quest to respond to emerging strategic demands. Changes in the international business environment push companies towards optimizing their levels of responsiveness, efficiency, and organizational learning in a very simultaneous manner (Bartlett and Ghosbal 43-53). Looking at the manufacturing industries in this country, Uzbekistan, the above issues are more contextual as to the nature of the industry and the profile held by SMEs. These factors are thought to be as a result of the tradeoff between growth and flexibility which are generic in terms of their impact on the potential of innovation of these SMEs, although they similarly pose the need to be reflected in the specific cultural and business practices in the country in order to ensure moderation or amplification of the impacts. BERR found out that there are obstacles businesses encountered in trying to achieve success. These were found to be competition in the market; regulations; tax, VAT, PAYE, NI and business rates; the economy; recruitment problems and shortages of skills; financing options; lack of managerial expertise and skills; pensions; and keeping in pace with the advances in technology (BERR 5). The factors will still have a bearing on the kind of growth aspirations, together with the market, regulation and capital structure effects in relation to the concept of globalization. As it is the case in Uzbekistan, the manufacturing industry if vital to the performance of the economy and SMEs play a very critical role in the development of the country. These do further add value to the relevance and importance that this study exudes. Various references will be used to fully explore the contributions of other scholars and try establishing relations and revelations. 4.0 Research Methodology Both qualitative and quantitative research methods will be employed. The inductive research study will have to be conducted and this will be covered by collecting primary data from the SMEs within the manufacturing sector and secondary data from document reviews. Open and closed interview questions will be asked and the questionnaires will be given as instruments of data collection. The questionnaires will be structured in a way which will be able to address the variables identified during the literature review process and in relation to the hypotheses established. The population of the study is Uzbekistan and the population size would incorporate 6 SMEs to be drawn from the Uzbekistan’s manufacturing sector. The t-test will be used in this analysis and therefore; a sample size of 30 respondents will be needed, which is able to represent the entire sector. Statistical measures would be used in the data analysis where findings will be presented using correlation analysis and regression models. The data will then be simulated by use of standard deviations so as to extend the data by use of Monte Carlo Simulation method. These techniques will be well applied by use of statistical software called SPSS. The findings will be presented by use of charts, graphs, figures, and tables (Gibbons 71-72). 5.0 Ethical considerations The consent for carrying out research will be sought from all the participants and the right to give or deny information by the respondents will be respected. The law of self-determination in research will be applied. Proper measures will be taken in order to ensure confidentiality of information given and the findings will only be used for the purposes of which the research is to be carried out. 6.0 Discussion and Conclusions The study will be able to cover two things: explaining the impact that globalization has on the strategies of growth employed by SMEs in Uzbekistan and in the manufacturing industry; and secondly, will show how generic explanations of growth of SMEs and their strategic behavior do apply. The findings will come in handy in the discussions and the arguments will be strictly based on the empirical analysis results. When making conclusions, they will be fully based on the research questions asked upfront during the study so as to give a response that is focused and also help in sticking to the scope of this research study. Works Cited Bartlett, C. A., & Ghoshal, S. Managing across borders: new organizational responses. Sloan Management Review (Fall), 1987: pp.43-53 BERR, Annual Small Business Survey 2006/07, p.5 accessed on 18th October 2011, at www.berr.gov.uk/files/file42727.doc Delmar, F., Davidsson, P., and Gartner, W. ‘Arriving at the high-growth firm’, Journal of Business Venturing, Vol. 18, issue 2. 2003: pp.189-217 Gibbons, J. D., Nonparametric Statistical Inference. New York: Marcel Dekker, 1985: pp.71-72. Read More