SMEs use technologies that are in a general sense more “appropriate” as compared to modern technologies used by large enterprises (LEs) in order to factor proportions and local conditions in developing countries, i.e. many raw materials are available locally, but capital, which includes human capital, is very limited.
5) Many SMEs may expand significantly, while the great majority of micro enterprises3 tend to grow little and hence do not graduate from that size of category. Therefore, SMEs are regarded as enterprises having the new function