Microenterprises (0-9 employees) account for between 70 per cent and 90 per cent while small firms (0 to 49 employees) constitute at least 95 per cent of the total. Only 0.5 per cent of enterprises in the manufacturing sector employ more than 500 in OECD countries. It should not be a surprise therefore that SMMEs are responsible for the vast majority of new businesses.
The report further revealed that SMMEs account for a significant share of output in OECD countries. In the United States for instance, they account for about 40 per cent of total economic activity. About 17 per cent of manufacturing output comes from SMMEs in OECD countries. In Korea and Japan, policy makers look up to the SMME sector to reinvigorate the national economy.