EU-27 SMEs during pre-COVID-19 and COVID-19 crisis: SME-related brief insights

Abstract

This study aimed to evaluate Micro and Small- and medium-sized enterprises (SMEs) based on an analysis of the connections between SMEs and performance measured during pre-COVID-19 and COVID-19 pandemics. Secondary data was applied from the EU-27 SMEs annual reports to sampling European SMEs for ten consecutive years. The quantitative statistical technique was used to assess various SME practices' impact before and during the COVID 19 outbreak. In 2020, the number of EU-27 SMEs was significantly 10.54 % less than in 2018. SME productivity, measured as value-added, was 3.34 trillion EUR in EU-27, 26.49 % lower as compared to 2018. Moreover, EU-27 SMEs also employed people in 2020, significantly 16.99 % less than in 2018. Overall, the pandemic affected EU27 SMEs' numbers and performance. EU-27 SMEs have been severely affected by the COVID-19 pandemic, with value-added dropping, employment declining in 2019 and 2020. SMEs' value-added and employment are expected to remain below their respective 2019 levels in 2021.