The Characteristics of SMEs in Dubai and Their Impact on Innovation

Defining an SME

There is lack of homogeneity within the SME definition, beyond that of being different to large organisations. Furthermore, size classifications within SMEs are not the sole differentiating factor, but they represent a key factor and initial starting point for studying SMEs, ILO (2017). What constitutes an SME depends on country, the enterprise, number of employees, annual sales, assets, or any combination of these. For instance, in Canada the term SME refers to businesses with fewer than 500 employees, while in the EU, a business employing less than 250 is classified as medium-sized; a business with less than 50 employees is classified as small, while a business with less than 10 employees is considered a micro-business, (EU/OECD, 2016).