Send to KindleA report of the Bulgarian Academy of Sciences (BAS) showed 33.2 % of small and medium-sized enterprises (SME) in Bulgaria to be on the verge of bankruptcy due to intercompany indebtedness.
Meanwhile, 51% of companies in Bulgaria reported deterioration in financial indicators in 2009 and in 2010, according to a survey presented by Prof. Radka Ilieva at a public lecture on June 26, as cited by econ.bg.
The number of small companies reporting a satisfactory development dropped four-fold from 2009 to 2011.
The main problems outlined by managers of SMEs were the reduction in consumption (68% of the polled) and the increase in intercompany indebtedness (54%).
Ilieva explained that intercompany indebtedness most often hit small companies but it also affected big firms.
She argued that big firms were not eating up small enterprises, just as "bears do not eat rabbits," adding that every sector needed big and small players, alike.
The sectors of construction, services, trade, light industry, and tourism, were worst affected by the economic crisis, with prospering construction firms decreasing three-fold in one year (2012).
The tough economic situation led to a reduction in innovation spending, variations in quality, decreased profit margins and decreased promotion and advertisement expenses.
"Promotion and advertising are tremendously lagging behind in Bulgaria and do not match the sector characteristics and the remaining part of the marketing mix," Ilieva said.
She cited underdeveloped consultancy services as another major problem, adding that 70% of big companies in Bulgaria made decisions on the basis of average concepts about the activity of the competition.
Ilieva said that companies in Bulgaria were not particularly willing to spend on consultancy services.
The Doomsday Clock, a symbolic measure of how close humanity is to global catastrophe, has been adjusted to 89 seconds before midnight—its most alarming position to date
78 Bulgarian researchers are among the first 2% top scientists in the world according to this year's ranking for the overall career development of scientists known as Stanford ranking
Following yesterday's decision to put bars on the inside of parliament's doors, the “Vazrazhdane” political party issued a statement calling for the bars to be removed
Dr.
The Governor of the Bulgarian National Bank (BNB) Dimitar Radev warned of a possible deterioration of the economic crisis.
According to data published on the Bulgarian National Bank’s (BNB) official website, household lending surged by 20.
Prices in seaside restaurants across Bulgaria are rising this year, with a noticeable hike in some popular beachside dishes
The Bulgarian National Bank (BNB) has released another set of practical guidelines regarding the transition to the euro once the country joins the eurozone
Elliott Investment Management, led by billionaire Paul Singer, is exploring the possibility of acquiring a stake in a set of Bulgarian infrastructure assets, which includes a key extension of the TurkStream gas pipeline
A significant portion of Bulgarians' savings is already held in euros, signaling the country's readiness for the currency switch, even before its official adoption
Japanese automaker Nissan Motor will cut over 10,000 additional jobs worldwide, bringing total layoffs — including previously announced ones — to around 20,000, or 15% of its global workforce, Japan’s public broadcaster NHK reported on Monday, citing Reut
Google Street View Cars Return to Bulgaria for Major Mapping Update
Housing Prices Soar in Bulgaria’s Major Cities as Demand and Supply Strain Increase
