Small and medium-sized enterprises (SMEs) form the backbone of South Korea’s economy, accounting for 99.9% of all businesses in the country and employing over 80% of the workforce. As of recent estimates, there are more than 7.7 million SMEs in South Korea, employing approximately 18.49 million people, or 81% of the total workforce. In 2021, SMEs generated total revenues of 3,017 trillion KRW, representing a 12.8% increase from the previous year and contributing 46.9% of the nation’s total corporate revenue. Notably, since 2015, the classification criteria for SMEs have shifted from employee count to annual revenue, reflecting their growing significance in the economy.
Scope of SME +Scope of Small and Medium EnterprisesMain BusinessCodeSmall and Medium Enterprises (Average Sales)Small Enterprise (Average Sales)Manufacturing (6 business types)Manufacturing of clothing, clothing accessories, and fur productsC14KRW 150 billion or lessKRW 12 billion or lessManufacturing of leather, bags, and shoesC15Manufacturing of pulp, paper, and paper productsC17KRW 12 billion or lessPrimary metal manufacturingC24KRW 8 billion or lessElectrical equipment manufacturingC28Furniture manufacturingC32Agriculture, forestry, and fisheriesAKRW 100 billion or lessKRW 8 billion or lessMiningBManufacturing (12 business types)Food manufacturingC10KRW 12 billion or lessTobacco manufacturingC12KRW 8 billion or lessTextile product manufacturing (excluding clothing manufacturing)C13Timber and wood product manufacturing (excluding furniture manufacturing)C16Manufacturing of coke, briquettes, and refined petroleum productsC19KRW 12 billion or lessChemicals and chemical product manufacturing (excluding medicine manufacturing)C20Rubber and plastic product manufacturingC22KRW 8 billion or lessMetalwork product manufacturing (excluding machine and furniture manufacturing)C25KRW 12 billion or lessManufacturing of electronic parts, computers, video, audio, and communications equipmentC26Manufacturing of other machines and equipmentC29Automobile and trailer manufacturingC30Manufacturing of other transportation equipmentC31KRW 8 billion or lessSupply of electricity, gas, steam, and air conditioningDKRW 12 billion or lessWaterworksE36ConstructionFKRW 8 billion or lessWholesale and retail businessesGKRW 5 billion or lessManufacturing (6 business types)Beverage manufacturingC11KRW 80 billion or lessKRW 12 billion or lessPrinting and recording media duplicationC18KRW 8 billion or lessManufacturing of medical materials and pharmaceuticalsC21KRW 12 billion or lessManufacturing of nonmetallic mineral productsC23Manufacturing of medical, precision, optics and clocksC27KRW 8 billion or lessManufacturing of other productsC33Water, sewage, and waste disposal, raw material recycling (excluding waterworks)E(excluding E36)KRW 3 billion or lessTransportation and warehousingHKRW 8 billion or lessInformation and communicationsJKRW 5 billion or lessRepair of industrial machinery and equipmentC34KRW 60 billion or lessKRW 1 billion or lessProfessional, scientific, and technical servicesMKRW 3 billion or lessBusiness facility management, business support, and rental services (excluding rental businesses)N(excluding N76)KRW 3 billion or lessHealth and social welfare servicesQKRW 1 billion or lessArts, sports and leisure servicesRKRW 3 billion or lessRepair and other personal servicesSKRW 1 billion or lessAccommodations and restaurantsIKRW 40 billion or lessKRW 1 billion or lessFinance and insuranceKKRW 8 billion or lessReal estate businessesLKRW 3 billion or lessLeasing businessesN76KRW 3 billion or lessEducation servicesPKRW 1 billion or lessManufacturing of new seats for automobilesC30393Average sales less than KRW 150 billionAverage sales less than KRW 12 billionManufacturing of rail vehicle seats among manufacturers of rail vehicle parts and related devicesC31202Manufacturing of aircraft seats among aircraft part manufacturersC31322
List of SMEs in South Korea +Name (English)Name (Korea)IndustrysectorHeadquartersFounded Naeil Shinmun 내일 신문 Consumer services Media Seoul 1993 Harrie Inc. 주시회사 해리 Telecommunications Mobile telecommunications Seoul 2016
See also
List of companies of South Korea
References
Further reading