5 Reasons Why Small Businesses Have the Upper Hand Over Large Businesses

 In Client Tips

Running a small business can sometimes feel like a race against larger, well-established corporations. With their enviable resources, it may seem impossible for a small business like yours to get ahead of the game. But here is where you’re wrong. As a small business, you hold several significant advantages that bigger companies usually have a hard time achieving.

Whether you’re still learning how to start a small business or feel a bit discouraged by the cutthroat competition out there, keep in mind that you possess these five trump cards.


  1. Operations

Small businesses typically run on simpler operations and smaller teams. This helps create an environment where departments can work more closely and accomplish tasks more quickly. Interdependence is achieved easily because meetings and catch-ups are scheduled without much hassle. Large companies usually encounter conflicts in scheduling, and this can slow down operations and result in delays. In this regard, small businesses can be more efficient than large businesses.


  1. Recruitment

Big companies can offer bigger salaries, and some potential employees may ignore your small business for this practical reason. Times have changed, though. A lot of professionals, especially young ones, place significant weight on other factors too. Millennials, for instance, are typically attracted by the flexible hours and the kind of care that employers can provide. They are also more interested in doing work that allows them to make a difference in the world. Small businesses typically have the advantage in this area, so your recruitment process can be a breeze.


  1. Customer relationships

Small businesses are usually more adept at interacting with customers on a personal level. This enables them to form and nurture relationships and become a trusted source of information and expertise. Moreover, through direct and personal interactions, small businesses can gather feedback and insight straight from their clientele which they can use in drawing up online business marketing strategies.

Thoughtful comments by customers can be lost in the maze of emails and social media that they often fail to reach the right people: the decision-makers in big companies. This can create a feeling of helplessness among customers — that their voices aren’t heard or they’re not being listened to.


  1. Cost advantage

Small businesses have lower operational costs than big businesses. This enables the former to sell products at lower price points while earning decent profits. Larger companies, however, aren’t as flexible when it comes to lowering their prices. They have to consider their quarterly profits or else their stock prices might suffer.


  1. Growth potential

Growth potential for small businesses is limitless. With their flexibility, they can go different ways. There’s a lot more room for exploration. For instance, they can stay as a small company serving a niche market; or they can grow larger over time and join the big leagues. There’s no going back once they decide to fully embrace being a large company, though.


It’s easy to get discouraged by the power of large companies. When you’re feeling this way, remember to take a step back and go over the advantages you have. You may be a small business, but you’re definitely so much more than that.

Recent Posts

Leave a Comment

New Call Center Services - Level Up Your Virtual Team Now!