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Engagement of small and medium enterprises in rural tourism, with elimination of limiting factors as well as creation and application of necessary strategic, qualitative and quantitative elements should intensify the transformation process of rural regions in Serbia including their economic, social and cultural rebirth. The objective of the paper is to point out to essential determinants of this sector, as well as to the preconditions which should be necessarily fulfilled in order to create an affirmative business ambience. In this context, a particular attention is paid to the significance of entrepreneurship implementation into the business process and to the institutions which with their support decisively influence position, treatment and perspectives of small and medium enterprises and entrepreneurship (SMEs).


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