Public policy and the diversity of SMEs : lessons from a taxonomic approach in a french region

This paper develops a taxonomy of small to medium sized enterprises (SMEs) using a large database of SMEs in the Rhone-Alpes region around Lyon and Grenoble in south eastern France. Motivating this study is the wide diversity found across SMEs, which makes difficult for public decision-makers trying to support them. The purpose of the study is to generate a number of SME archetypes so as to offer policy makers a more reliable system of classification of SMEs. Seven categories of SMEs showing similar strategic behaviours and comparable strategic situation. For each of these categories a characteristic firm is described, which can be identified as an archetype.