Effects of Geographic Distribution of Small and Medium-Size Enterprises on Growth, Innovation, and Economic Contributions

Abstract

The study examines the impact of the geographical distribution of SMEs on its growth, innovation, and economic contribution and validating the significant difference in the growth and economic contribution of home-based and non-home-based businesses in the UAE. This study also explores the economic and financial performances of SME sectors. Kruskal Wallis Test has been used to find the mean difference in growth and economic contributions of SMEs based on their respectively locations by using secondary data from government authorities. Also, a simple descriptive statistics analysis has been used to represent the data in a graphical and numerical form. Home-based and non-home-based entrepreneurships in the Emirates were mapped using global positioning system (GPS). This study reveals the importance of geographic distribution of SMEs in the country which will help government authorities as well as the entrepreneurs to choose their location for business.