The physical boundaries of the business today are slowly disappearing to the extent in which technology becomes available to the population. The Internet provides new opportunities for the development of the marketing mix, facilitates the achievement of business success and gives a chance to micro and small enterprises to find their place in the market. The present time, equally, seeks adjustment of marketing companies to modern lifestyle and maintains active connections with consumers in terms of interactive marketing. In these circumstances, companies are forced to use the online environment to introduce themselves to the world and are able to communicate with customers and do business. This paper examines the extent to which micro and small business use the Internet for the purpose of promotion, the way it is used and what their attitudes are about the use of the Internet in business. In the theoretical part the special reference is given to the Internet marketing characteristics and how the promotion on the Internet can affect the company´s business. The analysis of micro and small enterprises was made to outline their important role in the overall economic development in Croatia.The development of interactive marketing made consumers more important, special attention was focused on the specifics of consumer behavior in the virtual world.