An Examination of the Relationship Among Organizational Values, Strategies, Key Success Factors, Skills, Culture and Performance of Micro-Businesses (Manuscripts‪)‬

ABSTRACT In the United States, the level of economic dependence (revenues and job creation) on micro enterprises (fewer than 10 employees) has grown in recent years as the result of increased rightsizing and early retirements in middle to large-sized firms. As such, the government is placing increased emphasis on enterprise assistance programs and policies; particularly in the area of micro-businesses. This study examines relationships or linkages between the micro-business owner/manager's personal values and expertise, the strategies they adopt, the cultures they develop, and the financial and strategic performance within the retail craft industry. The findings suggest that owner/manager's personal values are highly correlated with the business strategy. Further, strategies that focused on the industry's key success factors (KSFs) had greater success than those that didn't. Also, an owner/manager's expertise was highly correlated with achieving financial and strategic objectives. However, the findings suggest that the current method of classifying business culture is not appropriate for micro-firms. Recommendations are offered for government assistance programs along with a strategic management model for future research.