UNCTAD's component included intensive training and business development services for more than 1,000 local companies, the establishment of TNC SME business linkages and the implementation of a business incubator.

15. Stresses that the outsourcing of work from transnational corporations to small and medium sized enterprises supports the development of entrepreneurship and privatization in developing countries

These support programmes are coordinated by the Economic Development Board through its Enterprise Development Division, upgraded from a Small Business Bureau as its activities expanded to keep up with the growth of local enterprises, both in size and in number.

Ms. Rohana Ramly, Director, Small and Medium Industries Development Corporation, (SMIDEC), Kuala Lumpur, Malaysia

The extent of transnationalization by Singapore companies can be examined from the information provided in a recent ranking of the top 100 Singapore international companies conducted by International Enterprise Singapore (IE Singapore, 2005).

The publication Corporate Social Responsibility and the Development Agenda Should SMEs Care?

Internationalization through outward investment

Finally, according to Kumar, the terms of technology transfer by developing country firms are generally more favourable to host countries than those of transfer by industrialized countries' firms.

Mr. Toru Ueno, Principal Administrator, OECD Centre for Entrepreneurship, SMEs and Local Development (CFE), Small and Medium sized Enterprise (SME) and Entrepreneurship Division, OECD

Furthermore, business environments in many developing countries prevent small firms from expanding into medium sized enterprises with more possibilities for linking up with larger firms and TNCs.

Investing abroad gives developing country firms access to new resources and has for many enterprises become an important part of their corporate strategy.

TOT Corporation Public Company Ltd.

ILO has two databases of particular relevance to enterprise development which are managed by its Enterprise and Co operative Development Department.

The new international environment has opened up new opportunities for firms in developing countries.

Entreprise Alain Veyron v. Société E. Ambrosio

It is generally expected that partnership between developing countries' firms will be boosted and integration of less developed countries' firms into the value chain of outward investors from the South will be enhanced.

New ground would be broken in reforming State owned enterprises and diversifying public ownership.

In his introduction to agenda item 3, the Chief of the International Arrangements Section of the Policy and Capacity Building Branch of DITE stressed that the primary contribution of corporations to development was economic in nature and that governments had pursued a number of policies to maximize this contribution and minimize possible negative effects deriving from corporate activities.

A new department in the Ministry of Trade and Industry was given this responsibility, but it has been transformed into a Small Business Development Institute to monitor small business development.

Some authors also argue that developing country firms, at least in early stages of their outward expansion, tend to rely heavily on expatriate staff for management and technical positions instead of hiring nationals from host countries, since they have not yet developed the systems that industrialized countries' firms use to transfer management skills to their personnel (Kumar 1982 Lecraw 1977).

The technologies they used are now available at a much lower cost to SMEs, including in developing countries.

Ukraine

The company was creating and addressing opportunities, through partnership, for industries in developed countries to expand in the emerging markets of developing countries.

Of particular relevance is cooperation between companies in developed countries and their suppliers in developing countries, and between subsidiaries of TNCs and their local suppliers, in particular SMEs.

However, developing country firms may also bring disadvantages to their hosts.

a TACIS (EU) project in experience at the firm level the case of Kazakstan Kazakstan

Business operations from microenterprises to multinationals are greatly impacted by health, security and economic development factors.

Armenia has enacted a series of laws relating to the privatization of State enterprises, and 90 per cent of construction enterprises have been transformed into private or joint stock companies.

17.11 Substantive responsibility for the execution of this subprogramme rests with the Women and Development Unit of the Office of the Executive Secretary of the Commission.

A number are family owned enterprises, including Pacific International Lines (shipping), Hong Leong Asia (industrial) and City Developments Ltd. (property development and hotels).

Of the four instant tea processing operations in developing countries, only one, Tata Tea, in India, is not a subsidiary of a transnational or foreign owned.

At the same time, the role and responsibility of corporations had also been a focus of attention, including in the debate on attaining the Millennium Development Goals.

The increased presence of TNCs in local markets in developing countries does not always benefit SMEs.

It was noted that joint ventures between companies from the developing world and industry from more developed countries can be beneficial to both parties.

This should also include addressing questions related to the scalability, sustainability and replication of best practices, including how to link aid and FDI with corporate development contributions, and how best to develop corporate management systems so that these elements could be incorporated into business decision making at all corporate levels (and especially at the level of foreign affiliates in host developing countries).

Creating linkages with TNCs and other SMEs induces many opportunities for SMEs in developing countries to expand their production and increase growth.

Malaysia felt that there was an increasing need for the public and private sectors to share the burden of national development.

62. The Director of the Division on Investment, Technology and Enterprise Development gave an oral report on the activities of the Division in the five main areas of its work investment and transnational corporations science and technology for development advisory services for investment and technology privatization, entrepreneurship and competitiveness and international accounting and reporting.

DITE Activities Report 2004 (UNCTAD ITE 2005 1).

Appendix Publications prepared by DITE in 2004

What is the role of corporations, business and industry associations?

In this context, one delegation called for a stronger ethos of corporate developmental responsibility, so as to ensure that the business sector is a positive agent of development.

It had therefore become of the utmost importance to understand under what conditions developing countries' firms could successfully participate in the internationalization process, including through integrated production networks, TNC SME linkages, global value chains and outward investment from developing country firms.

TNC SME Linkages for Development Issues, Experiences, Best Practices.

Indian enterprises could also observe good corporate governance and contribute to the host country's national development.