Problems Of Development Of Small And Medium-Sized Enterprises İn The Agribusiness Sector İn Azerbaijan

Abstract

This study explores the challenges associated with the development of small and medium-sized enterprises (SMEs) within Azerbaijan’s agribusiness sector. The key issues influencing agribusiness growth have been analyzed and interpreted. Considering contemporary global challenges, the study highlights the role and functions of agribusiness in ensuring food security. Additionally, the obstacles hindering entrepreneurship in the agribusiness sphere have been examined, with an emphasis on the necessity of enhancing the implementation of state support mechanisms. The current state of production in the agribusiness sector has been assessed, and the potential growth prospects for SMEs have been identified. The study also presents the dynamics of economic entities operating in Azerbaijan’s agricultural sector and analyzes their evolving trends. A comparative analysis of the key macroeconomic indicators of small enterprises across the country has been conducted. Furthermore, the level of self-sufficiency in domestically produced agricultural products has been evaluated. The role of the agribusiness sector and agro-processing industry in strengthening food security has been systematically reviewed. The study also investigates the multiplier effect of agribusiness in fostering the intensive development of import-substituting industries. The research underscores the positive impact of agribusiness on expanding employment opportunities in rural areas and improving the overall living standards of the population. Additionally, key aspects related to labor market formation, job creation, and the efficient utilization of human resources in the agricultural sector have been explored. The macroeconomic indicators of entrepreneurial entities in Azerbaijan have been analyzed in detail. Using Excel-based regression analysis, the study identifies key factors influencing production output in the entrepreneurial sector and evaluates their elasticity. The findings emphasize the importance of considering both direct and indirect factors in a comprehensive manner when assessing SME development. In conclusion, the study presents key insights into the challenges and prospects for SME development in Azerbaijan’s agribusiness sector. Based on the findings, recommendations have been formulated, and policy proposals have been put forward to facilitate sustainable growth in the sector.