The Impact of E-sales on Birth and Death Rate of Businesses in the Czech Republic
The Impact of E-sales on Birth and Death Rate of Businesses in the Czech Republic

Author(s): Eva Hamplova, Jaroslav Kovarnik
Subject(s): National Economy, Business Economy / Management, ICT Information and Communications Technologies
Published by: Masarykova univerzita nakladatelství
Keywords: business; business environment; E-sales; national economy;
Summary/Abstract: Since 2016 the Czech Republic has gradually been implementing the system of electronic records of sales of goods and services in cash – ´E-sales´ (Czech abbreviation: EET). It is a modern communication means between entrepreneurs and the Financial Administration of the Czech Republic. The objective of this article is to evaluate, with the support of the latest data by the Czech Statistical Office, the influence of the electronic register on the birth and death rate of businesses in the Czech Republic in 2016. The contribution compares the differences between the number of newly-established and closed business units according to their size, the declared legal form of enterprise, and the basic level of nomenclature of economic activities (CZ-NACE) in the years 2010 – 2016. Methods of comparative analysis and analysis of trends are used. At the end of the paper, thanks to the net balance analysis and the average annual growth rate of new businesses analysis, we disprove the hypotheses about the significant impact of the new system introduction on the number of small and medium-sized businesses in the Czech Republic (mainly natural persons and legal entities – limited liability companies), as well as on the number of active business units according to selected economic activities in which the system was started in the first phase.

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