Different Metrics for Different Markets
I often get asked why Cambodian startups don't look like Silicon Valley startups. Where are the unicorns? Where's the hyper-growth? Where's the $100M Series A?
The answer is: they're optimizing for a different game.
The Cambodian Context
Cambodia's GDP per capita is around $1,600. The population is 17 million. The tech ecosystem is less than a decade old.
Compare this to the United States: $70,000 GDP per capita, 330 million people, decades of tech history.
A strategy that works in one context won't necessarily work in the other. In fact, it might be actively harmful.
What Success Looks Like in Cambodia
A Cambodian tech startup that:
- Employs 50 people at above-market wages
- Provides a valuable service that 10,000 customers use regularly
- Generates $2M in annual revenue
- Has been profitable for 3 years
That startup is a massive success by Cambodian standards. It creates jobs, solves real problems, and contributes to the economy.
In Silicon Valley, that company might be considered a "lifestyle business." In Cambodia, it's exactly what the country needs.
The Growth Trap
When Cambodian founders try to apply Silicon Valley growth strategies—aggressive paid marketing, customer acquisition at any cost, burning cash to "capture market"—they often fail.
Cambodia doesn't have the same depth of venture capital. When you burn your runway in 18 months chasing growth, there's no Series B to save you. You're done.
We've seen this pattern repeat. The companies that survive are the ones that grow within their means, focus on profitability from day one, and build lasting relationships with customers.
What We Teach Our Founders
At SmallWorld, we encourage a different approach:
1. Unit economics from day one If acquiring a customer costs $50 and they generate $20 in annual revenue, the business won't scale. That's okay—just don't raise VC money expecting it to.
2. Build for the market you have, not the market you want Cambodian consumers have different spending power, different pain points, and different behaviors than American consumers. Build for THAT.
3. Relationships are your moat In a small market, your reputation is everything. Treat every customer well. Word of mouth is your best marketing channel.
4. Plan for the long haul Cambodia isn't going to produce a $10B exit tomorrow. But it can produce dozens of sustainable, profitable businesses over decades. We play the long game.
The Opportunity
There's freedom in optimizing for your own context rather than someone else's.
We're not trying to replicate Silicon Valley in Southeast Asia. We're building something uniquely Cambodian—tech companies that serve Cambodian needs, employ Cambodian talent, and contribute to Cambodia's development.
That's the vision. And thirteen years in, I'm more convinced than ever that it's the right one.