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Small business is currently vital for the development of any country. In the article, the term “small entrepreneurship” is an umbrella term that includes both small and micro enterprises. These two types of small enterprises, according to EU Regulation 364/2004, differ by several indicators, which given in the article. In Latvia, - just like, for example, in the USA, - small business employs about...
Micro and small enterprises in Latvia, like larger enterprises, constantly face various risks. As a rule, the standard deviation of random income measured by the same scale as income itself is taken as the risk, and its mathematical expectation, around which the random income is scattered, is taken as the expected income. Depending on the behavior in relation to risks, there are three types of entrepreneurs:...
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