MICRO: Enhancing Competitiveness of Micro-enterprises in Rural Areas Module No 8: EU Single Market Opportunities for Rural Micro-enterprises Prepared by the Consortium for the project: “Irish Rural Link – National University of Ireland Maynooth- CDI – EEO GROUP SA- IHF asbl – IDP - Internet Web Solutions SL”

The EU Single Market in a nutshell Overview How many slides? 17 slides in total How long to read and listen? 20 minutes (not including exploring the links provided within slides) What is the benefit? See aim and expected learning in following slides

The EU Single Market in a nutshell Unit Aim This unit is aimed at providing a brief introduction to the EU Single Market with a special focus on micro-enterprises

The EU Single Market in a nutshell Expected Learning Outcomes At the end of this module you will be able to: Know what is the EU Single Market Know why it is relevant for micro-enterprises in rural areas

The EU Single Market in a nutshell   The European Union The European Union (EU) is a unique social, economic and political partnership between 28 European countries The functioning of the EU is regulated by treaties, approved voluntarily by all Member States

The EU Single Market in a nutshell   The EU Single Market (1/4) The Single Market is aimed at guaranteeing free movement of Goods, Services, Persons and Capital within the EU borders It is one of the greatest achievements of European integration as it establishes a market without borders and barriers within the European Union

The EU Single Market in a nutshell   The EU Single Market (2/4) The Single Market is made up of More than 500 million consumers 28 Member States Third countries: participate by virtue of multilateral or bilateral trade treaties such as Iceland, Liechtenstein and Norway (European Economic Area) and Switzerland (bilateral treaties)

The EU Single Market in a nutshell   The EU Single Market (3/4) The EU Commission, in conjunction with Member States Promotes the modernization of standards Enacts regulation that eases the business environment Prevents discriminatory practices to create a level playing field for all enterprises operating in the Single Market

The EU Single Market in a nutshell   The EU Single Market (4/4) In addition to regulating and policing the market, the EU Commission also provides valuable tools for enterprises to access and actively participate in the Single Market The EU Commission considers SMEs and entrepreneurship crucial for economic growth, job creation, innovation and social integration The EU Commission encourages Single Market integration by eliminating regulatory and technical barriers to trade and supporting SME development

The EU Single Market in a nutshell   http://ec.europa.eu/internal_market/imi-net/_images/video/all_about_imi_en.mp4

The EU Single Market in a nutshell   Single Market for micro-enterprises (1/6) More than 21 million SMEs are operating in the EU: they play a crucial role in the success of the Single Market Only 25% of EU-based SMEs export at all and an even smaller portion export beyond the EU Many small companies in the EU struggle to internationalise their business even with an open and fair trade framework in place

The EU Single Market in a nutshell   Single Market for micro-enterprises (2/6) The Single Market is a great opportunity to help European businesses to: Face competition Access foreign markets Find new business partners and suppliers abroad Going international increases micro-enterprises' performance, enhances competitiveness, and reinforces sustainable growth

The EU Single Market in a nutshell   Single Market for micro-enterprises (3/6) Micro-enterprises tend to focus only on local markets: they limit themselves and do not focus on national ones either They lose a market composed of 500 million consumers Within the EU borders, selling is the same regardless of country/region/city, products sold/services delivered, company’s legal status, size etc.

The EU Single Market in a nutshell   Single Market for micro-enterprises (4/6) If a micro-enterprise is able to sell in its small village it can virtually sell in any other part of the EU Single Market Some services cannot be exported: hairdresser, coffee bar, restaurant etc. But it is possible to open a new business abroad Many products/services can be exported: local food, local craftsmanship, ICT services etc.

The EU Single Market in a nutshell   Single Market for micro-enterprises (5/6) Micro-enterprises do not become international mainly due to: Limited business resources and international contacts Lack of managerial skills to go beyond their local markets Lack of awareness and understanding of the EU single market and the opportunities to explore new market niches and segments

The EU Single Market in a nutshell   Single Market for micro-enterprises (6/6) The EU provides key support networks and tools such as: Your Europe Business Portal SME Internationalisation Portal Enterprise Europe Network Access to Finance Portal EU also provides funding programmes to support micro-enterprises

Thank you for your attention  End of Module Thank you for your attention 