If one was to compare small and medium scale business against
large scale operations one would notice a number of differences. These
differences would likely be in relation with size, scale of operations,
capital base, number of employees and amount of profit made. In all of
these categories a large scale corporation would out weigh any small or
medium scale business. The large size coupled with the large capital
base available to large corporations offers a lot of advantages. It
makes it possible for it to enjoy the benefits economics of scale
provide. In parlance with marketing activities it also offers large
corporations enough resources to carry out its marketing operations. On
the surface it would seem impracticable or impossible for small and
medium scale business to compete with large scale corporations
considering the amount of resources at their disposal.
It is however important to note that there are some disadvantages which are associated with large scale organizations which on the other hand make for an advantage to small and medium size business. The peculiar nature of small and medium scale business offers a unique advantage that many fail to ignore. In comparison to larger corporations, small businesses are smaller and closer to the market and consumers. This offers the unique opportunity for small and medium size business to compete with large organizations making use of superior more flexible marketing operations.
For marketing system to be effective in any organization it has to make proper use of market feedback. Feedback from the market is a very important part of the marketing process. When a marketing campaign is launched or any marketing plan launched it is important to monitor the effects on the market. This involves efficient monitoring and analyzing of operational results. The smaller size of small coupled with their nearness to the final consumer makes it easier for them to this more effectively compared to large corporations. Large corporations make use of middle men and sometimes a long distribution chain to connect to the final consumer. This makes feed back from the market less accurate and slower to gather.
Small and medium scale business can also be more flexible in carrying out their marketing activities. The market and the general business environment are very dynamic based on a lot of controllable and uncontrollable factors. The small scale business operations are easier to adapt to change in the market place making it thus better prepared to seize any advantage that presents itself. For example it would be easier for small scale business to start online business operations if it becomes necessary than it would be for a larger corporation.
Since resources available to the small and medium scale business are limited it becomes even more necessary that all resources be properly utilized to get the optimal marketing benefits. Scarce resources call for incisive marketing tactics to offer an operating leverage and available resources spent at what would do the most good.
A small or medium scale business should thus create an outline of its marketing plan focusing on optimal use of its resources to take better advantage of its comparative advantages. It should monitor properly the market and its operational results. It should be ready and flexible enough to quickly responds to changes in the environment and take full advantage of any opportunity. It has also proved useful for many to create or concentrate their marketing tactics towards a niche in the market and do their best to capture their market share. Doing this would make it better equipped to compete with other small scale competitors and even large scale corporations.
It is however important to note that there are some disadvantages which are associated with large scale organizations which on the other hand make for an advantage to small and medium size business. The peculiar nature of small and medium scale business offers a unique advantage that many fail to ignore. In comparison to larger corporations, small businesses are smaller and closer to the market and consumers. This offers the unique opportunity for small and medium size business to compete with large organizations making use of superior more flexible marketing operations.
For marketing system to be effective in any organization it has to make proper use of market feedback. Feedback from the market is a very important part of the marketing process. When a marketing campaign is launched or any marketing plan launched it is important to monitor the effects on the market. This involves efficient monitoring and analyzing of operational results. The smaller size of small coupled with their nearness to the final consumer makes it easier for them to this more effectively compared to large corporations. Large corporations make use of middle men and sometimes a long distribution chain to connect to the final consumer. This makes feed back from the market less accurate and slower to gather.
Small and medium scale business can also be more flexible in carrying out their marketing activities. The market and the general business environment are very dynamic based on a lot of controllable and uncontrollable factors. The small scale business operations are easier to adapt to change in the market place making it thus better prepared to seize any advantage that presents itself. For example it would be easier for small scale business to start online business operations if it becomes necessary than it would be for a larger corporation.
Since resources available to the small and medium scale business are limited it becomes even more necessary that all resources be properly utilized to get the optimal marketing benefits. Scarce resources call for incisive marketing tactics to offer an operating leverage and available resources spent at what would do the most good.
A small or medium scale business should thus create an outline of its marketing plan focusing on optimal use of its resources to take better advantage of its comparative advantages. It should monitor properly the market and its operational results. It should be ready and flexible enough to quickly responds to changes in the environment and take full advantage of any opportunity. It has also proved useful for many to create or concentrate their marketing tactics towards a niche in the market and do their best to capture their market share. Doing this would make it better equipped to compete with other small scale competitors and even large scale corporations.
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