Perceptions on the Enabling
Business Environment in Barbados
Dr. Paul Pounder
Department of Management Studies
Cave Hill Campus
Introduction
•
•
•
•
Background information
What is an enabling business environment?
Neo-classical approach
Neo-structuralist approach
Government Constraints Identified
• Weakness in enabling policy and regulatory
framework
• Sector policies and regulations not SME friendly
• Inadequate financial instruments and capacity
• Lack of capacity in public institutions and officials to
manage the expectations of the new enabling
environment processes.
• Lack of capacity in the private sector to fully meet
the challenge of investing in a number of projects
that had social implications
Business Constraints Identified
•
•
•
•
•
•
•
The high price of raw materials
The high price of productive equipment
High overhead and variable costs
Low staff productivity
A lack of Government assistance
Difficulty in obtaining finance
The high level of competition from low
quality/cheap imports, mainly from the Far
East
Addressing Constraints
•
•
•
•
Infrastructure
Education
Legal Framework
Trade and Investment
Factors Affecting the Way Forward
• Global fairness
• Global responsibility
• Corporate governance practices
Critical Success Factors and
Performance Measures
•
•
•
•
Political Stability and Security
Government Business Interface
Law Enforcement and Bureaucratic Red Tape
Efficiency of Government in Providing Services
Conclusions and Recommendations
• Adapting and/or applying the framework
• Ever-changing regulatory requirements
• Adequate expertise and resources required
Future Research
• Investigate government efficiency in
delivering Pre and Post-recession business
services
• Observe transaction costs versus
uncertainty in complying with government
rules and regulations
• A review of the impact of policies on the
business community