Abstract

An important role for the country's economic development is the adaptation of structural changes, opportunities and development conditions based on market demands for the products and services realized. The development of industry and natural resources are of particular importance in this regard.The industry contributes mostly to economic development and division of labor. It provides opportunities for the reconstruction and advancement of other economic branches such as agriculture, traffic, trade and more. The influence of industry on transforming the country's economic and social structure is high or low, depending on the level of overall economic development of the country.The post-war Kosovo economy faced great challenges, as a result of poor management for a decade and a devastating war. Nevertheless, Kosovo successfully e passed the reconstruction phase, which was quite difficult. The beginning of privatization, the dynamic development of the private sector in small and medium enterprises, with particular emphasis on the production sector, the first initiatives of the integration process with the region's economy through the signing of the Free Trade Agreement, the inclusion in the Stability Pact as unequal only the first steps of long and serious processes towards the development of market economy and integration into regional and international institutions. In the post-war period, Kosovo's economy was a consumption economy and its needs largely met by imports, using "cash" as a means of payment in the absence of organized financial institutions. The economic structure of a country, for economic development, more than any other indicator represents the development and development reality. So it is treated as the current generator at all times and in every contemporary society.In this paper we tried to define the management and efficiency of small and medium-sized businesses, and we also understood the importance and contribution of SMEs in economic development. Almost no definition is the same as what small and big business differentiates. The main factor in which theorists and economists are based is the number of employees.

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