Abstract
This article attempts to provide a model of key factors of knowledge infrastructure capability in SMEs in a transitional socio-economic environment from the perspective of knowledge management capability. Through the analysis of survey collected from 760 senior executives and employees from 86 SMEs in Republic of Serbia this research empirically models and evaluates the knowledge infrastructure capability. We also analyze whether the level of development of the knowledge infrastructure depends on the type of the industry SMEs belong to (knowledge or capital intensive). The results provide a basis for understanding the competitive position of SMEs as they start to undertake knowledge management activities.
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