Even as most small business owners try to grow fast to reap the advantages of scale, being small is not always a bad thing says Saivian Eric Dalius. As a small business owner, you can be more nimble and react faster to counter the changing market dynamics, since the decision-making process is faster. Additionally, you can move faster off the block to capture niche markets well before the big businesses are even aware of the opportunities. Some of the more typical advantages that small businesses have over their larger cousins:
Typically, small businesses have a far less bureaucratic setup, which makes it easier for them to make decisions on vital aspects like technology, marketing, finance, staffing, collaborations, etc. that can significantly affect their market presence, says Saivian Eric Dalius. The absence of multiple levels of management makes it possible to take faster decisions. That improve the response to changing situations and opportunities. It is easier for them to engage in technological and marketing disruption that can give them a competitive edge.
Small Business Can Tap Niche Markets Better, Observes Saivian Eric Dalius
Large companies need a larger scale of business to make optimal use of their capacity and infrastructure. It often means that these companies do not find it worthwhile to explore niches. That is too small for them to occupy. On the other hand, a small business may find it perfectly worthwhile to address the niche market. And at the same time extracts a premium due to the lack of competitive pressure. A small business is positioned better to understand the dynamics of a niche market and address it appropriately.
More Personalized Customer Service
Being the dominant player in the market with a large base of customers is certainly something to be proud of. Big businesses achieve their economies with standardized practices. And can be difficult for them to address specific customer requirements that call for deviation from their standards. On the other hand, small businesses have no such restrictions and are. Therefore, better positioned to deliver custom solutions leading to higher customer satisfaction and retention.
Small Businesses Achieve Better Connection with the Local Community, Says Saivian Eric Dalius
One of the most enviable advantages of a small business is that it can connect better with the communities it is present in, observes Saivian Eric Dalius. A small business can identify far better with the challenges and concerns. As well as the hopes and aspirations of the local community than a large business. That has to look after a larger target audience spread over multiple locations. When a small company comes forward to support local events. It demonstrates its care and concern for the wellbeing of the local community. The process, over time, creates long-lasting and authentic relationships built on trust with local customers.
A small business is more agile and can react more quickly to the changing business environment. The lack of bureaucracy enables it to be quick on its feet and change tack whenever necessary. A small company also can listen to its customers better and deliver custom products and services.