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Purpose: The objectives of the study were to critically investigate the challenges faced by SMEs; to analyze SMEs difficulties during adopting new technologies and to critically investigate the difficulties in the form of policies and procedures.

Design/methodology/approach: For this research study, purposive sampling methodology was adopted. Using a well-defined questionnaire, 257 samples were collected from all over Oman. The data collected was recorded, tabulated, summarized and the tests – Chi-square tests, Kolmogorov-Smirnov tests and regression analysis were carried to obtain the results.

Findings: The study reveals that most of the respondents got delay in the commencement of business due to lack of finance. It is also revealed that the SMEs are in dire need of technical support at the time of commencement of their businesses and need support to establish IT infrastructure.

Research limitations/Implications: The study suggests that the adequate support from General Authority for SMEs can change the scenario of setting up of the SMEs in a smooth transition and the interim advances by the financial institutions can help them avoid time lag.

Social implications: The study suggests that the Governmental authority should monitor and follow up SMEs to avoid the SME units becoming sick and provide technical support, guidance and nurse the units, if they become sick. Also, the licensing for the SME units should be made easier through single window system.

Originality/Value: Only a very few have examined the main challenges faced by SMEs in Oman. Our study includes selected samples of SMEs and not the micro enterprises. The study can further be extended to all the MSMEs in all the regions / Governorates of Oman.


Small and Medium Enterprises Challenges faced by SMEs Finance Technology Policies and Procedures SMEs in Oman Omanization Technology adoption

Article Details

How to Cite
Al Buraiki, M. A., & Rahman Khan, D. M. F. (2018). FINANCE AND TECHNOLOGY: KEY CHALLENGES FACED BY SMALL AND MEDIUM ENTERPRISES (SMES) IN OMAN. International Journal of Management, Innovation & Entrepreneurial Research, 4(2), 01-12.


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