Category: Daily Life in Cambodia

SMEs (Small and Medium Enterprises) are generally large enough that they need to be registered as companies, need a license, and pay taxes. They are part of the formal economy. Much of Cambodian commerce is in the informal economy, though. This fruit seller is a good example. A woman stakes out part of the street–part of the lane, not part of the “sidewalk”—and sets up shop. The government doesn’t get any tax revenue from her but the local police will. She pays them off to allow her to stay on the street.

In the business world, SME stands for Small and Medium Enterprises, the smaller type of company that operates in every country and in many countries is the main group of companies. This car, loaded with all sorts of breads and rolls to be delivered to a local store frequented by foreigners, exemplifies the mode of operation of SMEs. Somewhere in Phnom Penh—maybe in the owner’s home–there is a small bakery producing breads that need to be delivered. This young man loads up the car’s back seat, rear window, and trunk and gets the fresh goods to the store each morning.