THE COMPETITIVENESS OF SMALL AND MEDIUM SIZED ENTERPRISES OF STONE INDUSTRY

This study aims to examine the antecedents of stone firms competitiveness based on Porter's model. Questionnaire data collected from 200 senior stone firms' members in Iran. The results show that all aspects of porter model have positive effects on competitiveness. Also, factor conditions contributed signi?cantly to enterprises competitiveness and are the most important predictor among all other of the antecedents of competitiveness. Because the data is limited to stone industry, future studies need to validate these results in other industries. The findings of this study suggest that, to increase competitiveness ability, the stone firms should invest in developing and enhancing factor conditions. The value of this paper lies in its contribution to understanding better the predictors of competitiveness. Particularly, the paper adds to the existing literature by showing that the key success factors for competitiveness are factor and demand conditions. People who want to work for the industry should promote the factor and demand conditions. It is better that they work in the areas which have enough demand and factor conditions.