This study looks at how SMEs in the commercial districts of Eastern Highlands Province, Papua New Guinea, implement strategic management. It identifies the main factors for success and the key barriers related to planning, management, organization, and individual skills. Data were collected from selected wholesale and retail businesses. Tools like rank, weighted mean, and standard deviation were used to analyze the findings and measure how barriers affect performance. The Pearson Correlation Coefficient was used to test the hypothesis. Results show that financial resources are the most important factor for success, as well as the biggest barrier in all areas studied. The test revealed no significant relationship between strategic management implementation and business performance (p > .05). The study recommends ways to help SMEs improve their strategies and overall results