This paper argued that critical analysis on current development strategy is important in order to reach the goal of development, that is, to promote growth and to reduce unemployment. Past policies and economic situation, combined with theories on productivity improvement, would provide material to formulate estimation strategy. If small enterprises were projected to play important role in the economic development, small enterprises must be seen as a central object of the economic policies. This article laid out two grand policies in economic development, i.e. to improve the environment for investor and to abolish discrimination to small enterprises, especially discrimination resulted from market failure. The next step will be building the primary foundation in promoting investment, included macroeconomic stability and predictable policies.