Small Businesses Fail, ARTNEX’s Answer.
In Korea, there exists an extremely broad range of business operators—from small neighborhood shops to mid-sized brands with annual revenues under KRW 12 billion.
From restaurants, cafés, gyms, academies, and flower shops in local commercial districts to health supplements, fashion, and cosmetics brands that expand online—every year, countless businesses open their doors, and just as many quietly shut them again.
Is this simply a matter of individual effort?
According to the 2025 Survey on Closed Small Businesses by the Korea Federation of SMEs, the primary reason small business owners decided to close their businesses was declining profitability and sales (86.7%).
Looking more closely, after poor location or industry selection, marketing failure was cited as a major contributing factor.
The problem is clear.
A lack of operational brand management capability.
Most founders devote all their energy to product development, technology, and on-site operations.
But sustaining and growing a brand— brand strategy, customer messaging, packaging and design, distribution and marketing operations— is nearly impossible to manage continuously without dedicated expertise.
Brand education remains limited to certain academic tracks or large corporations, and the gap between theory and the rapidly changing market reality continues to widen.
This led us to a fundamental question:
“There are many ways to build a brand—but why is there no system to sustain and grow one?”
That question became the starting point of ARTNEX.
ARTNEX is neither a traditional consulting service nor a design agency. We set out to structure brand operations themselves using data and AI.
ARTNEX is neither a traditional consulting service nor a design agency.
We set out to structure brand operations themselves through data and AI.
At its core, ARTNEX is not a tool that merely offers advice—it is a system designed to make brands actually move.
The first real-world test for ARTNEX took place through a small business consulting support program operated by the Seoul Business Agency (SBA).
Targeting manufacturing-based and small businesses in Seoul, the goal was not theoretical consulting, but the validation of an actionable AI-driven brand system.
The results were clear. It overcame the long-standing limitation of “consulting that makes sense but never gets executed”
Through this experience, we became confident: this structure is scalable.
The next stage of validation took place with social enterprises in Hanam City.
Ahead of the Chuseok holiday, during the “2025 Better Consumption Festival in Hanam.”
ARTNEX worked with five social enterprises to diagnose and redesign their brands.
The focus of this project was unmistakable: Transition from B2G dependency to B2C self-sustaining structures
From “organizations that receive support” to “brands chosen by consumers”
Social value alone is not enough.
If a product or brand fails to create a reason to be genuinely desirable, the market does not open. ARTNEX existed precisely to bridge that gap.
Redefined local and community narratives into a premium regional brand
From coffee shop → symbolic brand of Hanam New Town
Clarified a social mission focused on job creation for retired women
From calligraphy education → B2C goods and educational kits
Core keyword: Reflection
Personal branding evolved into a scalable brand structure
From slow-learner education → inclusive education brand
Character-driven learning kits and packaging
SNS expansion and marketing structure established
From a loose collective of artists → clearly defined brand personas(20–30s / 40–50s)
Unified design and marketing
Repositioned from the social sector into a market-facing brand
Transformed healing messages into an experience of “small luxury”
Abstract values reshaped into consumer-friendly storytelling
SNS-centered brand communication established
Working with these five brands was not about surface-level design improvements.
It was about uncovering the stories each brand carried— and translating them into a language the market could understand.
In the end, all brands converged on the same question:
“What kind of brand should we exist as?”
As of 2023, Korea has approximately 7.9 million small business establishments and 8.29 million small and medium-sized enterprises. SMEs account for 99.9% of all businesses.
This means one thing: a massive, already-existing market where brands can be charged on a store-by-store, brand-by-brand basis.
At the same time, there are 880,000 platform workers and more than 6.5 million non-wage workers. A structure where demand (small businesses) and supply (freelancers and operational talent) coexist simultaneously.
In this market, ARTNEX is not a tool that encourages more ad spending.
It is a SaaS platform that automates and optimizes brand operations.
In the next article, we will explore this market in greater detail— with clearer numbers and structural analysis.
ARTNEX is not a company that replaces jobs with AI. We expand the possibilities of entrepreneurship and self-reliance through AI.
A brand is not decorative packaging. It is a reason for existence—and a structure for survival.
ARTNEX asks that question together, designs the structure together, and makes it work in the real world. And this first experiment sent a clear signal: Social value and market competitiveness can coexist.