ASSIGNMENT 5

Name : Samar Ismail Mohammed AL-Blushi

ID : 102102

Growing and dynamic Small and Medium-Sized Enterprises

(SMEs) are critical for the development and sustainability of
any economy, particularly given their flexibility to adapt to
changing economic dynamics, among other reasons .Data from
emerging and developed economies, there is importance to
contribution of SMEs in terms of job creation and value addition
to the economy. Is the fact that SMEs in these economies hire
more people than larger firms or the public sector. Also, the
roles played by the Omani government are: supporting the
development of Omans small and medium-sized enterprises
(SMEs) is regarded as a key method for boosting private sector
employment levels and direct Omani involvement in the
economy. With these goals in mind, government policy is being
implemented to provide SMEs with additional funding and
expertise, as well as to grant them wider access to government
tenders. According to some estimates, more than 90% of all
registered firms in the Sultanate fall into the SME category,
though their combined contribution to GDP is only around 15%.
Most of these small-scale businesses are rated by the Public
Authority for Social Insurance as being micro-enterprises, with
78% of companies in Oman employing five people or fewer,
between them accounting for just 10% of total employment
.nationwide
Economics is the Sultanate of Oman from the economies of
middle-income, and characterized by the presence of oil and gas
surpluses and budget surpluses and large commercial sources.
Petroleum is where 64% of the total export earnings and 45% of
government revenues and 50% of GDP. The petroleum products
segment of the most important sectors of the Omani economy.
Also Oman has a special segment is characterized by force and
diversity and covers several activities, including industry,
agriculture, textile, retail, tourism, industry and include major
mining and smelting copper, oil refining and cement factories. It
also seeks to foreign investors in the fields of industry,
information technology, tourism, and higher education. The
focus of industrial development of gas resources plan, and the
manufacture of steel, petrochemicals, and international ports.
The Sultanate of Oman is currently facing challenges, namely
.high rate of liquidity and inflation until late 2008

:We are needed for a SMES for many reasons

Small and Medium Enterprises (SMES) are vital for
development of a country. Helps reshaping the productive
sectors, generates employment, creating an environment for
entrepreneurship and promotes innovation. The Agriculture,
Forestry and Fishing sector includes activities related to
growing crops; raising livestock; growing and harvesting
timber; and harvesting fish and other animals from farms or
their natural habitats. It includes production and production
support services. Production activities are classified as
horticulture; livestock production and aquaculture; forestry and
logging; fishing; hunting and trapping. The government of
Oman has taken various measures to diversify the economy for
sustainable development of the country and one of the major
steps is to transform Oman into a digital society. The adoption
of ICT will have significant positive consequences on SMEs and
consequently on the economy of Oman. There is a dearth of data
and research about the size and contribution of SMEs towards
Omans economy. Therefore, through this research, we would
like to learn about the effects and usages of ICT on SMEs in
.Oman and their current and future perceptions towards ICT
Oman has successfully achieved through the use of oil gains in
technology to increase production in 2009, which led to greater
economic diversity. Seeks Oman struggled in the development
plan that focuses on diversification, industrialization and
privatization in order to reduce the contribution of the oil sector
in GDP to 9% in 2020. The global economic recovery will have
.a positive impact on the economy

:Conclusion
The contributions made by SMEs and entrepreneurial
individuals in terms of innovation, provision of employment
opportunities and diversifying the economy are significant and
well documented. Having recognized the important role that
they play, it is clear that the Sultanate of Oman can ill afford to
neglect to foster an environment where such enterprises will
flourish and where self-employment is seen as a feasible option
for Omani youth. It is clear that at present there is much to be
done in order to accomplish this. While access to finance in the
form of low interest loans is a positive step in the right direction,
the fact that there is a lack of training relating to basic business
skills for potential entrepreneurs could well contribute to a high
rate of new business failures. To this end educational institutions
have a role to play in developing programs relevant to differing
needs of entrepreneurs from product development to exploring
.export opportunities