A spotlight on small businesses in the US
According to McKinsey Global Institute, micro-, small-, and medium-size enterprises (MSMEs) in the US account for 39% of value added and 58% of employment, compared to 54% and 66% in advanced economies. They are crucial in professional services and construction but face challenges with productivity.
US MSMEs operate at only 47% of the productivity level of large companies, versus 60% in advanced economies. Closing this productivity gap could boost US GDP by 5.4%, compared to a potential increase of 4.7% across various advanced countries.