Impact of factors affecting on success of small and meduim scale business

Abstract

Small and medium business organizations consider as the heart of country that directly contributed to the economic development. According to the study of Zelealem (2004) human resources development, organizational development, managerial background, managerial leadership and competitive strategy affect the performance of SMEs. The study of Kinyua (2014) mentioned that “The roles of finance, management skills, macro-environment factors and infrastructure have been viewed as a critical element for the performance of small and medium-sized enterprises”. As a developing country Small and medium business organizations are backbones in Sri Lanka. In this context it is necessary to identify the value of Small and medium business organizations functioning in Sri Lankan context. Also it is necessary to identify the impact of factors affecting on success of small and medium scale businesses in Sri Lankan context.