Size structure (annual turnover) of Czech enterprises participating in Framework Programmes by region

A previous post from October 24, 2022 evaluated the size of enterprises participating in Framework Programmes according to their annual turnover and identified, that domestic and foreign enterprises of different size categories participate in Framework Programmes – for domestic enterprises, micro and small enterprises predominate; for foreign enterprises, large enterprises predominate. This contribution is focused to find out, whether this fact also has a geographical dimension – whether there are differences between the regions of the Czech Republic.

From the data on the Horizon Europe programme (as of September 15, 2022), it is not yet possible to draw conclusions – due to 76 corporate participations with a total EU contribution of €26.5 million. On the contrary, in the case of the 7th Framework Program and the Horizon 2020 programme, certain regularities can be noticed. In the FP7, companies based in Prague received 38% of the EU contribution to Czech companies (i.e. €29.6 million), and in the H2020 programme 58% (i.e. €73.4 million). If we compare the structure of companies based in Prague with the structure of companies participating in Framework Programmes for the Czech Republic, we will not find – due to the importance of Prague's representation – any fundamental differences between this two structures.

In the case of the South Moravian Region, this share was 23% (for the FP7, i.e. €18.2 million), or 17% (for H2020 programme, i.e. €21.5 million). The structure of companies participating in the Framework Programmes based in the South Moravian Region differs significantly from the structure of companies for the entire Czech Republic in several cases. The first case is a higher representation of domestically owned medium-sized enterprises (enterprises with a turnover of CZK 300 million to CZK 1.5 billion) and the second case is a high representation of micro-businesses (enterprises with a turnover of up to CZK 59.9 million) among companies in foreign ownership.

Pardubice, Central Bohemian, Liberec, Olomouc and Hradec Králové Regions showed an above-average participation of micro and small enterprises (i.e. enterprises with an annual turnover of up to CZK 299.9 million) in domestic ownership in the FP7. In the H2020 programme, the regions of Hradec Králové, Zlín, Olomouc and Central Bohemia were that case. In the mentioned regions, domestically owned micro and small companies accounted for more than 3/5 of the European Union's contribution to enterprises.

Medium-sized enterprises in domestic ownership were above average represented in the FP7 in the regions of South Bohemia, Zlín, Olomouc and the already mentioned South Moravia. In the H2020 programme, in the regions of Pardubice, Moravia-Silesia, Liberec and South Bohemia. In these regions, more than 30% of the European Union’s contribution to enterprises were oriented to medium-sized enterprises.

In the H2020 programme, Prague was the centre for domestically owned large enterprises (i.e. enterprises with a turnover of CZK 1.5 billion and above). On the contrary, in the FP7, domestic large enterprises were most represented in the regions of Liberec, Moravia-Silesia, Plzeň and South Bohemia – they shared 1/7 to 1/10 of the European Union's contribution to the participating companies there.

Among the participants of the FP7 and H2020 programmes, large foreign companies were most represented in the regions of Vysočina, Plzeň and Prague; only in the case of the H2020 programme the South Bohemian Region is added.

Looking at the geographical picture of corporate participation in the Framework Programmes, it can be noted, that the size and ownership structure of enterprises that participate in Framework Programmes is all in all stable in Prague and the South Moravian Region. The structure of enterprises based in other regions of the Czech Republic is more variable compared to Prague and the South Moravian Region.

Note:
Distribution of the EU financial contribution to participants in the Horizon Europe programme according to the amount of their annual turnover and registered office as of September 15, 2022
Amount of the EU financial contribution (€ millions) to enterprises with registered office in particular region
Size category of enterprises according to their annual turnover.
Domestically owned enterprises (orange tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mil.; CZK 1500 mill. and more.
Foreign owned enterprises (blue tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.
Public enterprises (green tones): CZK 60-299.9 mill.; CZK 1500 mill. and more.
Regions without enterprises participating in the Horizon Europe programme.

Note:
Distribution of the EU financial contribution to participants in the Horizon 2020 programme according to the amount of their annual turnover and registered office as of May 17, 2022
Amount of the EU financial contribution (€ millions) to enterprises with registered office in particular region
Size category of enterprises according to their annual turnover.
Domestically owned enterprises (orange tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.
Foreign owned enterprises (blue tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.
Public enterprises (green tones): not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mil.; CZK 1500 mill. and more.
Regions without enterprises participating in the Horizon 2020 programme.

Note:
Distribution of the EU financial contribution to participants in the 7th Framework Programme according to the amount of their annual turnover and registered office as of April 30, 2021
Amount of the EU financial contribution (€ millions) to enterprises with registered office in particular region
Size category of enterprises according to their annual turnover.
Domestically owned enterprises (orange tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.
Foreign owned enterprises (blue tones): defunct enterprises; not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.
Public enterprises (green tones): not specified, CZK 0-59.9 mill.; CZK 60-299.9 mill.; CZK 300-1499.9 mill.; CZK 1500 mill. and more.

Author: Vladimír Vojtěch, CAS TC, vojtech@tc.cz, 01.11.2022