Pakistan SMEs rely on rented digital platforms for growth
Over five million small and medium-sized enterprises in Pakistan depend on external digital platforms to sell their goods.
Economic contribution of local businesses
These companies account for more than 90 percent of all businesses in the country. They also generate approximately 40 percent of the nation's gross domestic product.
Shift to social media sales
Fashion labels and beauty brands now launch collections through Instagram and TikTok Reels. Handmade producers reach buyers directly via WhatsApp communities instead of physical shops.
Risk of platform dependency
Business visibility is increasingly determined by algorithms owned by companies the entrepreneurs do not control. Policies from these platforms can change overnight, creating uncertainty for growing brands.
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