A country of family enterprises

TIRANA, June 23ؓmall private businesses make up a good majority of Albanian business. Known also as family businesses, they employ 1-4 people.
According to the National Institute of Statistics (INSTAT), 93 per cent of businesses in Albania belong to family enterprises. Albania has only 588 “big” companies, classified by tax authorities as VIP. Big companies also count for the majority of people employed and for the major share of the tax revenue.
“Big enterprises, with 50 or more employees, represent less than 1% of all businesses, but their contribution in employment is far greater, accounting for 37% of employees in the private sector,” declares INSTAT.
The latest data show that the economic structure has not changed much during the last few years, but it remains oriented toward family businesses. According to official numbers, a total of 107,342 businesses operate in Albania, of which, 19,884 were registered last year.
Hotels, restaurants, and caf고are the most preferred ventures, dominating with 67% in total business activities. Companies in the service industry make up 84.5% of Albanian businesses.
Commerce remains the most preferred reason for starting a business and it represents 44.2 % of businesses. Companies specializing in the production of goods count for only 15% of all companies, but they provide jobs for 30% of the employees in the market.
About half the business ventures are located around the capital, Tirana, and the second biggest city in Albania, Durres. Not a surprise since both cities, including surrounding areas, account for more than half of the country’s population.
Lastly, 24.7% percent of business owners are female even while culturally Albania remains a patriarchal society.