Public procurement strategy: the impacts of a preference programme for small and micro businesses

Paulo Ricardo da Costa Reis · Sandro Cabral

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Public Procurement and Policy Law, Economics, and Judicial Systems Auction Theory and Applications

Abstract

The authors assess the impact of a public procurement programme designed to encourage small and micro businesses (SMBs) in Brazil to take part in public procurement auctions. The programme had no effect on contracted prices. However, SMBs were more likely to have their contracts terminated as a result of poor performance. Implications for theory and for practice internationally are discussed in this paper.

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References

2006Small and medium-size enterprises: Access to finance as a growth constraint 2011The entrepreneurial state 2006Agents or Stewards: Using Theory to Understand the Government-Nonprofit Social Service Contracting Relationship 2005Efficiency, flexibility, or both? Evidence linking strategy to performance in small firms 1997Contracting out by the public sector: theory, evidence, prospects 2001Success Factors of Strategic Alliances in Small and Medium-sized Enterprises—An Empirical Survey 2011Bid Preference Programs and Participation in Highway Procurement Auctions 2008Fostering sustainability through sourcing from small businesses: public sector perspectives

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