You begin by choosing one of two fighters (either a blond guy, or a dark haired guy in karate gear). Then you are whisked away to one of many cities on the map to have a battle. The opponents are tough, but simple. This game has no special moves (and has only punch, kick, and jump buttons), and all characters have insanely high energy. So you pretty much just wail away at each other with punches and kicks until someone falls down. An ambulance will show up to haul away your defeated opponent, and a girl in the audience will come out to congratulate you.
Street Smart was SNK's answer to the original Street Fighter game made by Capcom. It could have been a hit (there were almost no fighting games on the market at the time), but they made one fatal mistake. That mistake was making the game co-operative in two player mode. Instead of battling each other, a second enemy would spawn, and the players would work together against both of them. That completely took all the fun and excitement out of playing this game in two player mode. Street Fighter II was released about a year later, and most Street Smart games were quickly converted into them. The music of the first stage of Street Smart was recycled later in Fatal Fury in a 2-player battle. (arcade-history)