Why existing SMBs?
The MODE is a marketing standard which was developed with 400 micro, small, and medium-sized businesses, who represent over 90 percent of all business entities in any economy.
Why micro, small and medium-sized businesses?
I have been closely exposed to this sector’s needs for over 20 years serving as a marketing consultant and working with SMB practitioners. This sector is by far the largest in any economy, one that struggles with bottom-line results, and can also affect performance by improving marketing management skills. It’s not wishful thinking, it’s a practical methodology I have developed over time.
In business and elsewhere, determinations are made based on the size of the entity. A business that isn’t regarded as “big enough” is categorized by governments as “medium” or “small”. Although it carries several names, and regardless of tax policies, the smallest of businesses are run by one person, which would deem it a sole proprietorship.
The acronym “SMB” has several options for what it may stand for. For us, it really means the practitioners behind the “Small and Micro Businesses”.
According to the World Bank, World Trade Organization (WTO), and other global institutions, SMBs represent over 90 percent of all business entities. Furthermore, they are responsible for the employment of two out of every three working people.
Whether traded in a stock exchange or privately held, larger companies invest in improving their business performance and maintaining the required learning curve, which includes hiring skilled people and training them. When aligning better performance and training, the life span of larger companies tends to be much longer.
But what about a “one-person show”, or a small family business, or any small business entity? And why is the survival rate of SMBs only 50% after the first 5 years? (source: The American Government Small Business Administration).
In order to answer these challenging questions, as supported by our manifesto, we have conceived a marketing management standard. Its aim is to improve the performance of SMB practitioners: Do, then learn. Furthermore, it was conceived to share updated marketing know-how for business students whose path will often lead them to the SMB sector (Learn, then do).