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Using the econometric models, this paper addresses the ability of AlbanianSmall and Medium-sized Enterprises (SMEs) to identify the risks they face. Towrite this paper, we studied SMEs operating in the Gjirokastra region. First,qualitative data gathered through a questionnaire was used. Next, the 5-levelLikert scale was used to measure it. Finally, the data was processed throughstatistical software SPSS version 21, using the binary logistic regressionmodel, which reveals the probability of occurrence of an event when allindependent variables are included. Logistic regression is an integral part ofa category of statistical models, which are called General Linear Models.Logistic regression is used to analyze problems in which one or moreindependent variables interfere, which influences the dichotomous dependentvariable. In such cases, the latter is seen as the random variable and isdependent on them. To evaluate whether Albanian SMEs can identify risks, weanalyzed the factors that SMEs perceive as directly affecting the risks theyface. At the end of the paper, we conclude that Albanian SMEs can identify risk

Using the Econometric Models for Identification of Risk Factors for Albanian SMEs (Case study: SMEs of Gjirokastra region)