Critical success factors for small and medium sized businesses: a PRISMA-based systematic review

Abstract

Abstract Small and medium-sized enterprises (SMEs) make up most businesses globally. They are considered the economic engines of many nations, driving job creation, poverty reduction, and making substantial contributions to national wealth. Despite their significance, they face numerous challenges that impede their growth and sustainability. Recent studies have increasingly concentrated on examining the critical success factors of SMEs, producing a broad range of results that offer diverse insights into the key determinants of business performance and growth. This study undertakes a systematic literature review using the PRISMA guidelines to ensure a comprehensive and systematic analysis of these factors. Data were collected from Scopus and Web of Science databases, resulting in a final sample of 72 peer-reviewed publications. The data were analyzed thematically using Atlas.ti software. The systematic review identified nine key themes as critical success factors for SMEs, namely entrepreneurial characteristics, availability of financial resources, networking, adoption of technology, strategic planning, human resource management practices, enterprise factors, customer orientation and brand reputation, and government support. Among these, the most influential factors were availability of financial resources, networking, and adoption of technology which were highlighted by over 80% of the studies as critical success factors for SMEs. This study contributes to the literature by providing a comprehensive framework of critical success factors for SMEs, offering valuable insights that can guide both SMEs and policymakers in fostering small business success.