Abstract
There is increasing recognition of the potential contribution of local small and medium enterprises (SMEs) towards employment and economic growth in Singapore. Unfortunately, SMEs tend to have a high mortality rate. A survey was conducted among owners or managers of local SMEs to identify factors perceived as important in affecting business failures. The research results indicate that endogenous factors were viewed by respondents as more critical in causing SME failures than exogenous factors. Important exogenous and endogenous factors in specific areas were identified.
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Additional information
Lau Geok Theng is Senior Lecturer, Department of Marketing, National University of Singapore, 10 Kent Ridge Crescent, Singapore 0511, tel: (65) 772-3179, fax: (65) 779-5941. Jasmine Lim Wang Boon is with the United Overseas Bank, Singapore.
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Theng, L.G., Boon, J.L.W. An exploratory study of factors affecting the failure of local small and medium enterprises. Asia Pacific J Manage 13, 47–61 (1996). https://doi.org/10.1007/BF01733816
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DOI: https://doi.org/10.1007/BF01733816