Analysis of Factors Influencing the Performance of Small and Medium Enterprises in North Central Province in Sri Lanka

Abstract

Small and Medium Enterprises (SMEs) play very significant role in the economies of both developed and developing countries, representing well over 90 percent of all manufacturing enterprises in the world. Over the years, SMEs have gained wide recognition as a major source of employment, income generation, poverty alleviation and regional development in Sri Lanka. While little empirical research has addressed the small firm performance, even few studies have concentrated in rural areas; this study aims to examine the factors influencing the performance of SMEs in North Central Province (NCP) in Sri Lanka. The study directs to SMEs owner Managers to examine their character traits, strategic capabilities and external environment influences and effect of them towards the firm performance.