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Development Constraints

In: SMEs in Asian Developing Countries

Author

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  • Tulus Tahi Hamonangan Tambunan

Abstract

The development of viable and efficient SMEs is hampered by several constraints. These constraints may differ from region to region, between rural and urban areas, between sectors, or between individual enterprises within a sector. However, certain constraints are common to all SMEs, including the lack of capital, human resources, technology, and information; difficulties in procuring raw materials, marketing, and distribution; high transportation costs; problems caused by cumbersome and costly bureaucratic procedures, especially in obtaining the necessary licenses; and policies and regulations that generate market distortions.

Suggested Citation

  • Tulus Tahi Hamonangan Tambunan, 2009. "Development Constraints," Palgrave Macmillan Books, in: SMEs in Asian Developing Countries, chapter 6, pages 159-184, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-25094-9_6
    DOI: 10.1057/9780230250949_6
    as

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