ABSTRACT
In July 1997, a combined domestic and external financial crisis started to hit Thailand rather dramatically. The crisis was mainly private-driven and strongly linked to the overall mismanagement of the big financial institutions and related business groups active in both manufacturing and services. When the crisis peaked, Registered small and medium-sized enterprises (SMEs) were particularly affected, but most of the domestic and external attention continued to concentrate on the fate of the conglomerates and financial institutions. The development of SMEs is perceived as a necessity if Thailand is to advance from its current status of an emerging economy to the stage of a newly industrialized economy, and then to join the ranks of the industrial nations.
