The Effective Factors on Economic Prosperity of Small and Medium Enterprises (SMEs) Agricultural Businesses in Alborz Province with an Attitude towards Education and Human Capital

Document Type : Research Paper

Authors

1 Associate Professor Imam Khomeini Higher Education Center (IHEC), Areeo, Karaj, Iran

2 Mas ter of Business Adminis tration

Abstract

Agricultural sector is the center of resistance economy development in the country and due to its various dimensions and technological progress; there are many job opportunities to increase productivity in this sector. Considering the predominance of small and medium enterprises (SMEs) businesses businesses in the agricultural sector, human resource development, reinforcing the social, physical, financial capital and the business environment can boost the economic prosperity of these businesses. Considering the position of the agricultural sector in the economic changes of Alborz province, this study was conducted with the aim of identifying the factors affecting the economic prosperity of small and medium agricultural businesses by survey method and a questionnaire instrument. The statistical population in this study was 404 agricultural business owners in Alborz province. Sampling was done using Cochran's formula and the number of samples was 200. The sampling method was random.The validity of the questionnaire was confirmed by the Expert panel. The reliability of the study was confirmed by Cronbach's alpha test and combined reliability. The results showed that the business environment (%75 Impact factor) and human resources (%25 Impact factor) have a significant positive effect on the economic prosperity of SMEs. Among them, "Joint cooperation in infrastructure", "Holding conferences, exhibitions and introducing new agricultural ideas", "Business unit communication structure and information transfer between colleagues", "Continuous training of human resources" "And the participation of skilled people" have the highest priority in the economic prosperity of small and medium-sized agricultural businesses.

Keywords

References

  • Abor, J. and Quartey, P. (2010). Issues in SME development in Ghana and South Africa. International Research Journal of Finance and Economics, 39: 218-228.
  • - Anderson, R. and Chantal K. (1997). Finance and Investment in Transition: Czech Enterprises, 1993–1994. IRES-Institut de Recherches, Department of Economics, Université Catholique de Louvain, Discussion Paper 9715, Louvain-la-Neuve.
  • - Badini, O. S., Hajjar, R., and Kozak, R. (2018). Critical success factors for small and medium forest enterprises: A review. Forest Policy and Economics, 94: 35-45.
  • - Ghosh, B.C., Liang, T. W., Meng, T. T. and Chan, B. (2011). The key success factors, distinctive capabilities and strategic thrusts of top SMEs in Singapore. Journal of Business Research, 51 (3): 209–221.
  • - Ginting, S., Mei, P., Fitriana, N., and Muda, I. (2019). Analysis of Boiler Operation Workload in Salted Fish Small Medium Enterprises (SMEs). In IOP Conference Series: Materials Science and Engineering, 505(1):1-5.
  • - Kostini, N., and Raharja, S. U. J. (2019). Financial strategy of small and medium businesses on the creative industry in Bandung, Indonesia. International Journal of Economic Policy in Emerging Economies, 12(2), 130-139.
  • - Levy M., Powell P. and Worrall L. (2015). Strategic intent and e-business in SMEs: enablers and inhibitors. Information Resources Management Journal, 18 (5): 1-20.
  • - Man, T.W.Y., Lau, T. and Chan, K. (2014). The competitiveness of small and medium enterprises a conceptualization with focus on entrepreneurial competencies. Journal of Business Venturing, 17: 123- 142.
  • - Micheal, C., carroll, N. and Bruce, W.S. (2008). Location quotients versus spatial autocorrelation in identifying potential cluster regions. The annals of regional science, 42: 449-463.
  • - Nyoni, T., and Bonga, W. G. (2018). Anatomy of the small &medium enterprises (SMEs) critical success factors (CSFs) in Zimbabwe: Introducing the 3E model. Dynamic Research Journals, Journal of Business & Management (DRJ-JBM), 1(2):1-18.
  • - Prieto Sandoval, V., Ormazabal, M., Jaca, C., and Viles, E. (2018). Key elements in assessing circular economy implementation in small and medium sized enterprises. Business Strategy and the Environment, 27(8): 1525-1534.
  • - Rogoff, E.G., Lee, M. S., and Suh, D. C. (2004). Who done it? attributions by entrepreneurs and experts of the factors that cause and impede small business success. Journal of Small Business Management, 42: 364-376.
  • - Radas, S. and Bozic, L. (2013). The Antecedents of SME innovativeness in anemogram in transition economy. Technovation, 29: 438–450.
  • - Saxenian, A. (2009). Regional advantage: Culture and competition in Silicon Valley and Rout. 128, Harvard University Press, Cambridge.
  • - Smallbone, D. (2017). Fostering entrepreneurship in rural areas, key policy issues in entrepreneurship and SME development. Retrieved from http:// www.oecd.org/.
  • - Suganthi, L. (2018). Multi expert and multi criteria evaluation of sectorial investments for sustainable development: An integrated fuzzy AHP, VIKOR. DEA methodology. Sustainable Cities and Society, 43:144-156.
  • - Tambunan, T. (2016). Women entrepreneurship in Asian developing countries: Their development and main constraints. Journal of Development and Agricultural Economics, 1: 27- 40.
  • - "The World Bank Annual Report" (2011). Year in Review. Washington, DC. © World Bank. - Umadia Sr, K., and Kasztelnik, K. (2020). The financial innovative business strategies of small to medium scale enterprises in developing country and influence for the global economy performance. socioeconomic challenges, 4(3):5-13.
  • - Urbanoa, D., Toledanoa, N. and Ribeirob, D. (2010). Support policy for the tourism business: A comparative case study in Spain. The Service Industries Journal, 30(1): 119–131.
  • - Van Gils, A. (2015), Management and governance in Dutch SMES. European Management Journal, 23(5): 583-589.

Files

Share

How to cite

Statistics