Determinants of SME growth: an empirical study in Saudi Arabia
International Journal of Organizational Analysis
ISSN: 1934-8835
Article publication date: 19 September 2019
Issue publication date: 10 January 2020
Abstract
Purpose
This study aims to examine the determinants of the growth of small- and medium-sized enterprises (SMEs) in the Kingdom of Saudi Arabia. The resource-based view theory is adopted in the analysis of the study.
Design/methodology/approach
The descriptive and multivariate regression analysis was used to analyze the data. A stratified sampling technique is adopted with a sample size of 119 managers from SMEs. There are variables delineated from theories (human capital, social capital, strategy and organization), which are associated with the firm’s growth that include; the size of the firm, firm age, manager’s education, training, experience, financing and network relationship.
Findings
The results found that the size of the firm, the experience of the manager, training, financing and the network relationship have a significant relationship with the firm’s growth. However, other variables such as the education and firm’s age do not have a significant relationship with the firm’s growth.
Originality/value
This study could be considered as an exposure to the SMEs in Saudi Arabia on the specific factors by the owner–managers who intend to develop their business.
Keywords
Citation
Rafiki, A. (2020), "Determinants of SME growth: an empirical study in Saudi Arabia", International Journal of Organizational Analysis, Vol. 28 No. 1, pp. 205-225. https://doi.org/10.1108/IJOA-02-2019-1665
Publisher
:Emerald Publishing Limited
Copyright © 2019, Emerald Publishing Limited