Strategic Planning and Business Performance of Micro, Small and Medium-Sized Enterprises

Abstract

This paper deals with issues of strategic management, particularly strategic planning and its beneficial effect on the overall performance of businesses. It is based on empirical results of the original research study called Adaptability of Enterprises to Contemporary Economic Condi- tions in Years 2007-2012 performed via questionnaire survey in three rounds during years 2011, 2012 and 2013. The analyses presented in the paper were conducted on the second round sample of 677 organizations operating mostly in the SME sector in the Czech and Slovak Republic. The interdependence between the level of strategic planning (existence of strategy in the form of written document and its extent) and enterprise performance criteria (turnover, costs, profit, EVA, investments, period of arranged contracts) is examined with the use of four hypotheses. The results are commented and discussed. The outcome is the apparent positive impact of full strategic document on the performance criteria of the businesses.