How The Business Game Has Changed
You could be forgiven for thinking that bigger companies are the ones with all the power in the business game. After all, they’re typically the ones with the bigger budgets and management systems to manage the risks they take and offer the lowest prices to their customers.
Today, technology is tearing up the rulebook. Instead of giving big companies all the power, smaller businesses are able to get some runs on the board, even overtaking some big names in the process. Big businesses can offer some of the lowest prices, but they make sacrifices in other areas, where small businesses can swoop in to claim victory.
Big businesses can churn out their services fairly reliably and reach thousands of customers at once, but when the complaints, enquiries and mix-ups come flooding in, to whom do their customers speak? Is there a team of highly trained employees or is it a computer responding to my questions? Providing a face to the name is a huge advantage for small businesses.
Small businesses can now provide great support for their customers, purely through their phone. Smart phones have opened up opportunities to respond to work, create invoices and provide support to customers, immediately – all with the tap of a finger. With many customers choosing businesses purely based on their standard response time, this immediacy is priceless for small businesses.
Providing a myriad of services to please every potential customer sounds like a great idea, but it is unrealistic. Big businesses have more resources to attempt this approach, but small businesses are just that – small! Finding a niche and focusing on it means that small businesses can deliver a select service and deliver it well, without spreading themselves too thin. This approach prioritises quality, which customers are always looking for.
In the past, it was the wealthy large companies who had a monopoly on the new technologies. Now, with the Internet so widely accessible, new technologies are quickly being found and adopted by smaller businesses. Bigger companies are often very loyal to their method of getting the job done. The idea of bringing in new technology triggers immediate headaches revolving around rewriting procedures and retraining employees. Small businesses don’t have to bother with large scale retraining, so they are free to integrate innovation into their business, at very little inconvenience.
Red Tape? No thank you.
With fewer employees, smaller businesses generally already have fewer hoops to jump through, but when it comes to taking risks or exploring a new direction for the business, they can make change happen quicker. Small businesses often don’t even follow traditional business structures and without having to work their way up through several layers of management, it’s a far quicker route to speak with the powers to be to push through changes or pitch new ideas.
In the end, no matter how big or small the business is, neither of them are immune to making mistakes. Big companies have an advantage in that they are better equipped to handle the fallout of a bad choice. Through their budget and their support frameworks, they often have a cushion to fall back on.
Small businesses are not without their own advantage, however. While they may not have a cushion to fall back on, they are at the perfect vantage point to observe the bigger businesses, watch their mistakes and then learn from them. Small businesses might not be immune to making mistakes, but they are much better positioned to avoid them.
Long gone are the days of big businesses being at the top of the food chain, small businesses are now able to stand tall in their own right and if they make their moves carefully, they can change the landscape of their industry entirely.
Want to be a big business owner with a small business nimble mindset? Then come along to Bxponential in October. At this free event – with great business speakers like Naomi Simson from RedBalloon, John McGrath from McGrath Real Estate, and Luke Kennedy from Punchy’s Gym – you’ll walk away with key resources and strategies you can implement in your business immediately. Book your free tickets here.