Dissertation (MA Business Administration)This study attempts to assess the effects of management skills on performance of SMEs in Tanzania. The study concentrates on Micro and Small enterprises in Dodoma Municipality where descriptive research design was adopted. A total number of 60 respondents constituted the sample. The sample understudy was Micro and Small enterprises owners/managers. The respondents were interviewed by using structured questionnaire. The analysis was carried out by using descriptive statistics, gross margin, correlation and linear regression. The results indicate that management skills in terms of marketing, financial, human relation and other business skills are of paramount important on performance of SMEs in Tanzania. The findings further reveal that both Micro and Small owners/managers who attended business training or have high level of education have better business performance unlike those who haven’t attended any business training or have lower level of education. Lastly the study recommended government to design training programs for micro and small businesses that reflects the nature and type of businesses undertaken in the country at an affordable price. Moreover, owners/managers of Micro and Small enterprises were argued to attend business training/seminars/workshops that will enable them to acquire marketing, financial, human relation and other related business skills so as to cope with business turbulence and attain sustainable development.