Paper Contents
Abstract
This study investigates the impact of socio-economic factors on the financial performance of small and medium-sized enterprises (SMEs) in Lebanon. SMEs play a critical role in driving economic growth, employment, and innovation within the country, yet they face numerous challenges that affect their sustainability and profitability. The research focuses on key socio-economic variables, such as access to financing, inflationary pressures, market competition, and the role of social and educational factors, in shaping the financial outcomes of Lebanese SMEs. A quantitative research approach was employed, utilizing surveys from a diverse sample of SMEs across Lebanon. The analysis reveals that factors such as educational attainment of SME owners, corporate culture, and access to financial resources have a significant influence on financial performance, while macroeconomic instability and intense market competition pose serious threats to SME viability. The findings also emphasize the importance of creating favorable economic conditions, improving financial literacy, and fostering stronger relationships between SMEs and financial institutions. This research contributes to the existing literature on SME performance by offering insights into the socio-economic challenges faced by Lebanese SMEs and proposing strategies for policymakers and business leaders to support sustainable growth.
Copyright
Copyright © 2024 Riad Makdissi. This is an open access article distributed under the Creative Commons Attribution License.
