This report provides an assessment ofthe policies devoted to supporting small and mediumenterprises (SMEs) in the Czech Republic. It presents anoriginal analysis of all national-level SME-related policyinstruments, totaling 93 instruments operational from 2013to 2017 and disbursing 108.5 billion CZK (4.71 billion USD),using an analytical framework that compares the SME policymix to the country needs (see Annex 1 for framework andmethodology). The analysis integrates three interrelatedsegments: 1) A country needs assessment to determine thenational needs for SME policies. The needs assessmentincluded a macro-level analysis of the Czech Republic'sperformance in productivity and trade; an analysis ofnational- and firm-level innovation performance; afirm-level analysis of productivity across firm sizes,sectors, and regions (leveraging original data from theCzech statistics office); and an analysis of market andinstitutional conditions that influence resource allocationand firm productivity. 2) A policy mix analysis to determineif the Czech Republic's SME policy mix matches theneeds identified in the country needs assessment. The policymix analysis included a review of relevant SME policystakeholders, institutions, and governance; a review ofnational-level strategies; identification of thecharacteristics of SME policies instruments (administeringagency, mechanism of support, beneficiaries, etc).; and acluster analysis to evaluate the internal consistency of thepolicy mix and identify overlaps. 3) Recommended areas forpolicy action were developed using the needs assessment andpolicy mix analysis to improve the effectiveness of thepolicy mix and the business environment.
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