Abstract The Welsh economy has recently gone through a period of transition in
which nationalised industries such as coal and steel have been replaced by small
businesses, often sponsored by government agencies. This research reports on the
degree to which these new small and medium-size enterprises (SMEs) are able to apply
marketing thinking to the business.
The research found that SMEs in Wales show good customer orientation, but patchy
understanding of competitive positioning and virtually no knowledge of strategic
marketing thinking. Marketing was seen as a functional activity, often carried out by
junior staff. Recommendations are made both for marketing education in Wales and
similar regions, and for further research.