The main purpose of this study is to identify determinants of SMEs performance, followed by the impact of Information Technology on SMEs profitability. By reviewing the existing literature and using the secondary data, this paper empirically investigates the determinants of SMEs growth in Kosovo; the fundamental obstacles faced by SMEs in Kosovo; the impact of Information Technology on SMEs performance and, it proposes strategies and measures to maximise Information Technology adoption from Kosovan SMEs. For the research purpose in this paper are used the secondary data gathered from Business Support Center Kosovo, who developed a survey from 500 SMEs in Kosovo. The combination of the variables related to entrepreneur, firm, business environment and IT adoption in a logit regression model suggest that entrepreneurs age, business age, introduction of any new method of marketing other than existing in the market for products/services during last three years from the firm are significant, whereas Internet use from SMEs resulted the most significant variable for SMEs profitability.
Business obstacles, Entrepreneur’s related factors, Firm’s related factors, Information Technology, Internet, SMEs profitability
AJTENE AVDULLAHI, AVDULLAH HOTI (2020). The search for determinants of Kosovan Small and Medium Enterprises performance. International Journal of Economic Sciences, Vol. IX(2), pp. 1-22. , DOI: 10.20472/ES.2020.9.2.001
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