A Systematic Review of the Factors Affecting the Sustainability of SMEs

Abstract

In emerging markets, formal SMEs account for over 60 percent of total employment and over 40 percent of gross domestic product. According to the Global Entrepreneurship Monitor, the survival rate of newly founded SMEs is generally low, with SME survival rates in underdeveloped nations being significantly lower. Thus, SMEs may contribute to economic growth with an increased survival and sustainability rate with the appropriate strategy. This raises the essential question of what are the factors that affect SMEs' sustainability. The article aims to compile a list of numerous factors identified by various academics utilizing the systematic literature review research technique. The study seeks to add to the body of knowledge by presenting comprehensive state-of-the-art viewpoints and findings in the domain of sustainability and survival with their factors, with a focus on SMEs.