Abstract
This research investigates the role of Small& Medium Enterprises in creating  Employment sector with reference to Sindh. Data were collected from 200 respondent from 40 organizations by using simple random technique. A structural questionnaire was developed to get reliability of the Data. Data were analyze by using SPSS-18 version. It was revealed that SMEs are the major source of foreign exchange earnings, SMEs have a major contribution in Pakistan’s GDP, A known feature of SME sector is its ability to create jobs, SMEs maintain the poverty alleviation activities through creating employment, SMEs assist in fostering a self-help and entrepreneurial culture,SMEs boost up an entrepreneurial strength which puts forward flexibility in the economy, SMEs are more capable in resource allocation as compared to large scale industries, SMEs in general consider employees as their most important resources, SMEs are pioneer in developing new products and services and finally SMEs are in general very quality minded in the products and services they provide.
Highlights
small and medium enterprises (SMEs) have historically taken as an significant part in contributing to economic progress of many countries around the world (Kongolo, 2010).There is no growth when the advantages of economic improvements are utilized only by a small number of people, whereas the greater parts are being expelled (Todaro and Smith, 2003)
In order to have a comparative view about the perceived impact of SMEs on employment, employees responses were obtained by using likert type 5-point scales and the items were replicated from the managerial questionnaire
An inspection of table 6.4 reveals that the majority of the employees more than 55% indicated agreements with the SMEs are the major source of employment, more than 20% appeared to be disagreed and more than 20% of the participants were un-certain about their opinion
Summary
SMEs have historically taken as an significant part in contributing to economic progress of many countries around the world (Kongolo, 2010).There is no growth when the advantages of economic improvements are utilized only by a small number of people, whereas the greater parts are being expelled (Todaro and Smith, 2003). One of the noteworthy distinctiveness of a prosperous and emergent economy is a booming and blooming small and medium enterprises (SMEs) sector (Feeney and Riding, 1997). Feeney and Riding (1997) further argued that small and medium enterprises play an important role in the development of a country. According to Fida (2008) SMEs contribute to economic development in various ways: by creating employment for rural and urban labor force, providing desirable sustainability, and innovation in the economy as a whole.
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