Many previous researchers found that having adequate managerial competencies including planning, organizing, directing and controlling skills in managing a business are significant predictors of firm survival. Arguably, it is assumed that micro-entrepreneurs in rural areas may have little or no managerial competencies than entrepreneur in urban areas due to their remoteness, especially in terms of constraints in formal education, infrastructure, skilled labor and motivation. Notwithstanding, despite of informal management practice among rural entrepreneurs, some of them still managed to run their business successfully through simple management. It is interesting to know how management is practiced by micro-entrepreneurs in rural area. Therefore, this paper aims to explore the management practice of microentrepreneur in Mengkabong Cove, Sabah, by applying the seven business management practice proposed by MacFarlane’s Model, namely planning, marketing, organizing, labor, production and operation, controlling ...