The product innovation as a prerequisite for the development of small and medium sized enterprises in Bulgaria

Introduction. Innovation in small and medium-sized businesses are important for its development, and for the state's economy during the economic crisis. Relevance of research is in determining of role of innovation in small and medium-sized business in modern economic crisis. Materials and methods. For registration statistical information was used methods: the observation, questioning, interview. Result and discussion. SMEs are the backbone of the European and Bulgarian economy. They are a major source of growth and the creation of jobs. Moreover, SMEs are most sensitive to changes in the business environment as economic actors. They are the ones who took the biggest negatives of the economic crisis, but also those who can direct the economy back to the path of economic growth. In this context, a vital prerequisite for survival and ensure the prosperity of each business organization is to create a relevant and sought after product, i.e continuous implementation of reasonable and adequate to the situation on the market innovation aimed at creating new and improving existing in the portfolio of the company products. From this results the particular importance of the issue of product innovation in small and medium business in Bulgaria, as one of the most powerful tools for a successful competitive struggle.