Challenges and constrains faced by small and medium enterprises (SMEs) in Al Batinah governorate of Oman
| DOI | https://doi.org/10.1108/WJEMSD-05-2014-0012 |
| Pages | 120-130 |
| Date | 11 May 2015 |
| Published date | 11 May 2015 |
| Author | Zaroug Osman Bilal,Nawal Said Al Mqbali |
| Subject Matter | Strategy,Business ethics,Sustainability |
Challenges and constrains faced
by small and medium enterprises
(SMEs) in Al Batinah
governorate of Oman
Zaroug Osman Bilal
College of Commerce and Business Administration,
Dhofar University, Salalah, Sultanate of Oman, and
Nawal Said Al Mqbali
Faculty of Business, Sohar University, Sohar, Sultanate of Oman
Abstract
Purpose –Although many studies have been conducted in this area in many countries, there is still,
a few studies on these enterprises have been done in Oman concerning the obstacles and constrains.
The paper aims to discuss this issue.
Design/methodology/approach –The main purpose of this paper is to throw light on the
challenges and constraints faced by small and medium enterprise (SMEs) in Al Batinah Governorate of
Oman and try to give some suggestions to solve problems.
Findings –The data have been gathered through questionnaires from SMEs in Al Batinah
Governorate in Oman. The descriptive analysis has been used to analyze the data, nonparametric
testing and analysis of variance.
Originality/value –After the data have been analyzed, the results show that obstacles and
constrains facing SMEs in Al Batinah Governorate accordance to their importance are as follows:
the investment environment come fist obstacles, capabilities of business owners come second, followed
by the marketing obstacles, finance obstacles, while the legislations and regulations obstacles came
last. Some of the recommendations have been presented which call for more attention and
concentration on solving the obstacles facing SMES in Oman.
Keywords SMEs, Challenges, Oman, Constrains, Al Batinah
Paper type Research paper
1. Introduction
Small and medium enterprises (SMEs) play significant role in the growth and
development of any economy. The need for SMEs consider as a means of ensuring
self-independent, jobs creation, import substitution, effective and efficient utilization
of local raw materials and participation to the economic development (Ong et al., 2012).
The situation in Oman is not different to their counterparts in other countries; SMEs in
Oman is also expected to be a leader for economic and social development, through its
vital roles in increasing economic diversification, in creating job opportunities for
citizens and equitable distribution of resources. SMEs in Oman are acquiring increased
support from government and private sector, with a number of public official’s policies
for the further development of the sector. Omer (2009) said “The SME sector plays
a key role in the country’s development especially in term of self-employment
opportunities; sound leadership is the foundation of success for any busin ess
establishment. Inspiring leadership can identify challenges ahead and draw up plans to
face them. According to the Ministry of Commerce and Industry (MOCI, 2012),
the number of SMEs operating in Oman is around 117,000, representing for around
World Journal of
Entrepreneurship, Management
and Sustainable Development
Vol. 11 No. 2, 2015
pp. 120-130
©Emerald Group Publishing Limited
2042-5961
DOI 10.1108/WJEMSD-05-2014-0012
The current issue and full text archive of this journal is available on Emerald Insight at:
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