Micro Enterprise Performances A Study of Swedish Online Micro Retailers

Abstract

Micro-enterprises (ME) is a topic that is less thoroughly studied than its larger peers, the small and medium enterprises (SME), medium and large enterprises. Yet their impact and contributions to the economy and society leaves rather large footprints and it is getting only larger. This study will highlight Swedish online B2C MEs in the retail industry, one of the largest industries in Sweden and with a relatively large share of MEs. The aim is twofold: to contribute to the theoretical knowledge base in the field of marketing and business performance in relation to MEs and to increase practical understanding for existing ME retailers and future entrepreneurs in order for them to improve business performances and achieve financial stability. Company statistics and filings together with literature theories will be used to examine and explain company performances. Based on this analysis, the study found that product prices and size/diversity of assortment offering were strongly correlated with financial profitability while social media presence was correlated with sales turnover.