Important Indicators Having Effect on Growth of SMEs in Albania

Abstract

One of the main challenges Albanian market is currently facing is the successful survival of Albanian small and medium entrepreneurs against the pressure of global market manufacturers/ suppliers, who can supply Albanian market with quality and competitive prices. Being under this pressure, it is, of course, particularly difficult for new manufacturers, established undertakings/ companies, newly established or old, to survive from the potential risk of failure during the first 3-4 years of their existence.This paper discusses some important issues and problems of financial situation, in general, and of the growth of small and medium enterprises in Albania. In addition, it presents, both theoretically and empirically, the relationship between the key performance indicators of SMEs growth. Some factors like number of years (age); number of employees; annual turnover, are subject to this analysis in order to see how SMEs are performing in Albania. For the analysis of qualitative and quantitative data, the linear regression and logistic regression models are used.

DOI: 10.5901/ajis.2016.v5n3s1p575