Micro and Small Enterprises in Developing Countries: What Hampers Growth?

• Published in: Shanlax International Journal of Economics Vol. 11; no. 3; pp. 1 - 10
• Main Authors: AL-Maamari, Osamah Ahmed, Vedava, P, Alrefaei, Noufal
• Format: Journal Article
• Language: English
• Published: 01.06.2023
• ISSN: 2319-961X; 2582-0192
• DOI: 10.34293/economics.v11i3.6204

Objective: The current study aims to know the most challenges facing the Micro and Small Enterprises (MSEs) sector in Yemen.Methodology: The present study is descriptive, in which the secondary data were obtained from books and published research papers and theses; however primary data were obtained from the owners of Micro and Small Enterprises (MSEs) in Yemen through a self-administered questionnaire. Originality/Relevance: This study is one of the few studies that dealt with the problems and challenges facing the small projects sector in Yemen. This sector is one of the most important economic components of any country, but there is a great neglect of it in research, so this study seeks to shed light on the problems that hinder the growth of this sector. A country of under-studied subjects of high importance.Results: This study concludes that Micro and Small Enterprises (MSEs) are important to most economies, as they often provide jobs and contribute to economic growth. However, MSEs also often face several challenges that can limit their ability to succeed and grow. Some of the most common challenges facing MSEs include the ongoing conflict and economic crisis, limited access to financing, lack of managerial and financial experience, The COVID-19 pandemic, etc. The findings of this study could lead to several solutions and recommendations to address the problems facing the MSEs sector in Yemen.