Business Environment and Enterprise Performance Survey (BEEPS)

Producer

The European Bank for Reconstruction and Development and the World Bank

Stated Purpose

The BEEPS is designed to generate comparative measurements of quality of governance, the investment climate and the competitive environment, which can then be related to different characteristics of the firm and to firm performance.

Area of Governance
Public Administration
Funding Source

The European Bank for Reconstruction and Development and the World Bank Group.

Current usage

The BEEPS is used by the private sector and international development organizations. Also used as a data source for other governance indicators.

Where to find it
Type of data used

Business survey

Coverage

22 Countries from Eastern Europe, former Soviet Union and Turkey.

Contact details

For more information please contact the project director: Steven Fries (friess@ebrd.com).

Methodology

The 1999 BEEPS carried out surveys for approximately 4000 firms in the 22 countries using various questions pertaining to governance obstacles to business development. The data collected from these surveys is presented in an “Input Sheet”, which allows the user to create customized charts in 6 areas: “Obstacles Diamonds” and the “Obstacles Bar” (descriptions of the size of the obstacles faced in a given country). The “Corruption & Capture Diamond” and “Corruption & Capture Bar” are alternative depictions of the degree of grand corruption and administrative corruption in the country. The “Capture Diamond” and “Capture Bar” charts are alternative depictions of the country’s state capture components. The Diamond charts are based on average estimates only, rescaled from 0 to 1, and feature comparisons with the Eastern Europe and the former Soviet Union average performance. The Bar charts always represent percentile ratings (whereby more means “better” performance) and are designed to illustrate the standard errors around the estimates. The standard errors associated with these estimates are also reported, together with the number of firms on which the estimation is based.

Format of results

The degree to which a firm’s performance is affected is measured on a 1 (not at all) to 4 (very much) scale. A higher average value for each country represents worse performance by the government, and a worse obstacle for business performance.

Valid Use

Tool for managers and international development agencies to compare countries with regard to investment climate, competitiveness and governance in the specific areas.

Invalid Use

The BEEPS should not be used as a general indicator for governance or democracy. In the area of corruption, for example, the results are survey perceptions on business corruption as seen by business firms. Countries’ relative positions on these indicators are subject to margins of error, and thus precise rankings cannot be derived.

Example results

The table below shows the survey results for all 22 countries for the question: How predictable are changes in the Rules, Laws and Regulations?

UNDP Support