A review of constraint factors affecting the growth of Small and  Medium Enterprises (SMEs) The case of ‘ALGERIA’

Sıhem Djıdjık

Makale detayları

A review of constraint factors affecting the growth of Small and Medium Enterprises (SMEs) The case of ‘ALGERIA’

Yazarlar:

Sıhem Djıdjık

Yayıncı:

Ankara Yildirim Beyazit University

Ana Başlıklar:

Business Administration | Business Systems in Context (Other)

Dergi:

AYBU Business Journal Vol.4 Issue 2, pp.12-36

Belge Tipi:

Makale

Yayın Tarihi:

12/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001337061

pISSN:

2792-0119

Anahtar kelimeler:

Özet:

 Internationally, small and medium enterprises SMEs growth depends upon an opportune market environment. However, in Algerian context, SEMs face numerous obstacles such as limited financial resources, lack of entrepreneurial knowledge, mediocre market accessibility, poor learning and growth, bureaucracy procedure and corruption etc. which impedes their growth. This research paper aims to evaluate the factors hindering the development of SMEs in Algeria. Several factors as insufficiency of business training, capital scarcity, financial constraints, poor production, lack of innovation, strict regulations, high corruption, slight access to information, lack of motivation from managers and business owners, insufficient raw materials, human resources challenges, collateral concern, lack of human skills, lack of a strong managerial strategies and consistent culture. In this study, a mixed-methodology approach was carried, an overall content of analysis to extract the common constraints from 20 articles of literature review in the case of Algerian SMEs. Following this line, a quantitative approach is applied by using statistical description to determine both frequency and percentage of the chosen factors to be analyzed in order to select the highly significant variables affecting SMEs growth in Algeria. The results reveal that Algerian SME growth of companies in Algeria is particularly effected and exercised under several constraints; Access to finance and the business environment in which SMEs operate present gaps that can significantly hinder their growthetc. The study suggests that more financial support with a whole control process by lowering interest rates and simplifying the procedures as regards to bank loans should be given to SMEs to support and enable them to manage their business, in addition, the government must fund these SMEs by reduce some corporate barriers such as reducing regulations, levying taxes. Moreover, business training should be provided to all SMEs by the government through the launch of new organizations to facilitate business knowledge.

 Internationally, small and medium enterprises SMEs growth depends upon an opportune market environment. However, in Algerian context, SEMs face numerous obstacles such as limited financial resources, lack of entrepreneurial knowledge, mediocre market accessibility, poor learning and growth, bureaucracy procedure and corruption etc. which impedes their growth. This research paper aims to evaluate the factors hindering the development of SMEs in Algeria. Several factors as insufficiency of business training, capital scarcity, financial constraints, poor production, lack of innovation, strict regulations, high corruption, slight access to information, lack of motivation from managers and business owners, insufficient raw materials, human resources challenges, collateral concern, lack of human skills, lack of a strong managerial strategies and consistent culture. In this study, a mixed-methodology approach was carried, an overall content of analysis to extract the common constraints from 20 articles of literature review in the case of Algerian SMEs. Following this line, a quantitative approach is applied by using statistical description to determine both frequency and percentage of the chosen factors to be analyzed in order to select the highly significant variables affecting SMEs growth in Algeria. The results reveal that Algerian SME growth of companies in Algeria is particularly effected and exercised under several constraints; Access to finance and the business environment in which SMEs operate present gaps that can significantly hinder their growthetc. The study suggests that more financial support with a whole control process by lowering interest rates and simplifying the procedures as regards to bank loans should be given to SMEs to support and enable them to manage their business, in addition, the government must fund these SMEs by reduce some corporate barriers such as reducing regulations, levying taxes. Moreover, business training should be provided to all SMEs by the government through the launch of new organizations to facilitate business knowledge.

 Internationally, small and medium enterprises SMEs growth depends upon an opportune market environment. However, in Algerian context, SEMs face numerous obstacles such as limited financial resources, lack of entrepreneurial knowledge, mediocre market accessibility, poor learning and growth, bureaucracy procedure and corruption etc. which impedes their growth. This research paper aims to evaluate the factors hindering the development of SMEs in Algeria. Several factors as insufficiency of business training, capital scarcity, financial constraints, poor production, lack of innovation, strict regulations, high corruption, slight access to information, lack of motivation from managers and business owners, insufficient raw materials, human resources challenges, collateral concern, lack of human skills, lack of a strong managerial strategies and consistent culture. In this study, a mixed-methodology approach was carried, an overall content of analysis to extract the common constraints from 20 articles of literature review in the case of Algerian SMEs. Following this line, a quantitative approach is applied by using statistical description to determine both frequency and percentage of the chosen factors to be analyzed in order to select the highly significant variables affecting SMEs growth in Algeria. The results reveal that Algerian SME growth of companies in Algeria is particularly effected and exercised under several constraints; Access to finance and the business environment in which SMEs operate present gaps that can significantly hinder their growthetc. The study suggests that more financial support with a whole control process by lowering interest rates and simplifying the procedures as regards to bank loans should be given to SMEs to support and enable them to manage their business, in addition, the government must fund these SMEs by reduce some corporate barriers such as reducing regulations, levying taxes. Moreover, business training should be provided to all SMEs by the government through the launch of new organizations to facilitate business knowledge.

 Internationally, small and medium enterprises SMEs growth depends upon an opportune market environment. However, in Algerian context, SEMs face numerous obstacles such as limited financial resources, lack of entrepreneurial knowledge, mediocre market accessibility, poor learning and growth, bureaucracy procedure and corruption etc. which impedes their growth. This research paper aims to evaluate the factors hindering the development of SMEs in Algeria. Several factors as insufficiency of business training, capital scarcity, financial constraints, poor production, lack of innovation, strict regulations, high corruption, slight access to information, lack of motivation from managers and business owners, insufficient raw materials, human resources challenges, collateral concern, lack of human skills, lack of a strong managerial strategies and consistent culture. In this study, a mixed-methodology approach was carried, an overall content of analysis to extract the common constraints from 20 articles of literature review in the case of Algerian SMEs. Following this line, a quantitative approach is applied by using statistical description to determine both frequency and percentage of the chosen factors to be analyzed in order to select the highly significant variables affecting SMEs growth in Algeria. The results reveal that Algerian SME growth of companies in Algeria is particularly effected and exercised under several constraints; Access to finance and the business environment in which SMEs operate present gaps that can significantly hinder their growthetc. The study suggests that more financial support with a whole control process by lowering interest rates and simplifying the procedures as regards to bank loans should be given to SMEs to support and enable them to manage their business, in addition, the government must fund these SMEs by reduce some corporate barriers such as reducing regulations, levying taxes. Moreover, business training should be provided to all SMEs by the government through the launch of new organizations to facilitate business knowledge.

Makale detayları

A review of constraint factors affecting the growth of Small and Medium Enterprises (SMEs) The case of ‘ALGERIA’

Yazarlar:

Sıhem Djıdjık

Yayıncı:

Ankara Yildirim Beyazit University

Ana Başlıklar:

Business Administration | Business Systems in Context (Other)

Dergi:

AYBU Business Journal Vol.4 Issue 2, pp.12-36

Belge Tipi:

Makale

Yayın Tarihi:

12/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001337061

pISSN:

2792-0119

SME

constraints

obstacles

growth

challenges.

Sayı

Makale detayları

A review of constraint factors affecting the growth of Small and Medium Enterprises (SMEs) The case of ‘ALGERIA’

Yazarlar: Sıhem Djıdjık

Yayıncı: Ankara Yildirim Beyazit University

Ana Başlıklar: Business Administration | Business Systems in Context (Other)

Dergi: AYBU Business Journal Vol.4 Issue 2, pp.12-36

Belge Tipi: Makale

Yayın Tarihi: 12/2024

Belge Dili: İngilizce

Document ID (Org No.): 2001337061

pISSN: 2792-0119

SME

constraints

obstacles

growth

challenges.

Sayı

Yazarlar:

Sıhem Djıdjık

Yayıncı:

Ankara Yildirim Beyazit University

Ana Başlıklar:

Business Administration | Business Systems in Context (Other)

Dergi:

AYBU Business Journal Vol.4 Issue 2, pp.12-36

Belge Tipi:

Makale

Yayın Tarihi:

12/2024

Belge Dili:

İngilizce

Document ID (Org No.):

2001337061

pISSN:

2792-0119