A Dissertation submitted in partial fulfilment of the requirements for the Degree of Master of Business Administration in Corporate Management (MBA - CM) of Mzumbe UniversityThis study examined the impact of strategic management on the business performance of furniture SMEs in Ilala district, Tanzania. Adopting the survey method with the aid of the questionnaires, data were collected from a convenience sample of 90 owner/managers of furniture micro, small and medium enterprises in Buguruni and Kariakoo wards. The researcher applied simple descriptive statistical analysis where the results are presented in frequency and percentage distribution tables. The findings of this study divulge that when SMEs are able to implement successfully the formulated business strategies, they would be in a better position to increase their number of consumers which will thus increase their transaction volume, market share, profit and as a result business growth. Nevertheless, the researcher found that business performance of furniture SMEs in Tanzania is constrained by managerial, governmental and environmental challenges. This study awakened the need of strategic entrepreneurship training to SMEs owners and their employees for business better performance.