A Study on the Development of the Management Consulting Market for Small-Scale Businesses

This study conducts an in-depth analysis of the necessity and structural challenges of the management consulting market for small-scale businesses and proposes strategies and approaches for its systematic development. Small-scale businesses account for the vast majority of all companies in South Korea yet continuously struggle with management improvement due to insufficient capital, manpower, and expertise. These businesses require external consulting for tasks such as ISO certification, management certification, government subsidy utilization, and digital transformation (DX) projects including smart factories and smart stores. However, they find it difficult to obtain quality consulting at a reasonable cost, given a market structure dominated by large consulting firms and a shortage of standardized services and specialist personnel. To explore this, two real-life consulting project cases were analyzed: Company A (retail and online distribution) and Company B (manufacturing in the parts/metal processing sector). Common problems identified include (1) financial and manpower constraints, (2) uneven consultant capabilities, (3) short-term, document-focused approaches, and (4) lack of post-consulting maintenance. Addressing these requires (a) standardized consulting models and improved professional competency, (b) an ecosystem built through government assistance and private sector collaboration, and (c) extended digital transformation consulting paired with robust follow-up systems. By defining the small-scale business consulting market as an independent domain, this study underscores the need for specialized consultants, collaborative platforms, and sustainable support systems involving government entities, industry associations, and financial institutions.