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Small businesses endure against big very market retail


Nowadays small businesses are vastly afflicted by starting of supermarket which target is afford to sell product to customer at lower costs. This research would toss some light on the less explored area about the result of super market on small business. The topic appeals more if you ask me as I have already been looking to answer this questions on an individual level as well. My children business has been affected credited to recent situations of beginning of supermarkets besides my own store which has radically increased the competition on the market where we operate. By executing this research I am hoping to get better understanding of this issue which can only help me to be better prepared to face your competition and increase my chances of success.

Research question:

What kind of steps can small business owners takes to survive against big supermarkets and steer clear of possible risks of liquidation?


This research goal is to make it through small businesses against big very marketplaces in competitive environment.


Objectives are very important for any research for this research objectives are;

To analyse and examine largely prominent supermarket pattern of modern century.

To evaluate the impact of the stakeholder management of the tiny businesses and big supermarkets.

To critically analyse the strategies that small business can take up to survive on the market.

To analyse and evaluate and compare customer action while transacting with supermarket and small company.


The primary advantage to me out of this research is the improvement of my management skills. This research is also beneficial to small businesses owners to endure against big players of industry. This research would be good for companies to help understand enjoys, dislikes and choices a customer makes while purchasing products or a service. This research is also ideal for students because of their further research.

Scope of the job:

This review is the moderate attempt to discover whether certain step can be taken to help small company which competes against big supermarkets for survival the study comprise about analysis of customer behavior choice and choice they make while buying products it throws light on the need for improvement in the retail sector to be able to keep up free and good competition which is the one alternate for providing best possible service to the client who often would suffer anticipated to monopolistic techniques of big retailers.

Literature review:

In the books review of the research of small business like Lidl the way they may survive against big supermarket in retail industry to the I've used SWOT analysis of smaller businesses like lidl. I also point out with the books review what exactly are why smaller businesses like lidl going to fail against big supermarket and I also discuss the possible solution to the in books review and also in the books review I also making the planning for small company to move ahead and be competitive or survive against big super market.

SWOT research:

With the assistance of the SWOT examination company can identify their inner power and weaknesses and also identify their external opportunities and dangers from the market.


Clear business target:

The power of the small businesses like lidl, the emphasis of business is clear and the seeks and objectives for short term and permanent are clear and because of clear goal and objectives business can give attention to the way and planning for achieving their goals.

Efficient operation:

For the tiny businesses like lidl operation department is small and successful that is why it control easily and easily get to them for obtaining their targets.

Good personnel:

The durability of small businesses like lidl is their good staff. In the tiny businesses staff is limited as well as are well trained and because of limited staff control about them it is also easy.

Quality product:

The other strength of small company is quality product smaller businesses sell brand name and quality products in market so customers also pleased to buying quality products

Reliable service:

Service is very important part for just about any business for marketing and development small business provide good and reliable services with their customers so they can attract more customers.

Satisfied customer basic:

In the small business staff gives more attention on customers so customers also satisfied with their services and also like shopping from small business.

Good supplier relation:

For small business like lidl all the products they obtain the supplier plus they order limited stock for business and they turnover that stock very early and pay their charges to supplier early as well and the relationship with dealer and business is good so it's also be a power for small business


Static product range:

The big weakness of small businesses is static product range. In the small businesses like lidl the merchandise range are limited and it influence their business. Due to limited product range customers go to buy from big superstores where they can get everything from same place.

Poor market understanding:

The second weakness of small company is poor market consciousness. Small businesses have limited resources as well as have limited knowledge of market.

Lack of competitive information:

The third weakness of small company is insufficient competitive information. Smaller businesses not need enough information with their competitors so they can not get any competitive advantage.

Inadequate marketing program:

Small business weakness is poor marketing program. Small business has limited resources that's why they have not enough knowledge about the market and because of limited understanding of market the marketing program is poor

Poor financial advice:

The weakness of small company is poor financial advice. Small businesses have no good financial backdrop that's why they cannot develop their business.

Low margin:

Small business markets their product to customers at affordable price as well as sell branded and quality product so the profit percentage on sell is low.


Build on the good customer base:

For small business like lidl there are a few opportunities to develop their business smaller businesses have build on a good customer foundation means small business have their own regular customer therefore the relationship between customer and business is good and small business have an chance to make that relationship strong by giving good customer services.

Develop potential of platform through good marketing:

Small business has opportunities to develop their business with the aid of good marketing for developing their business they have to execute a good marketing for their business.

Use current platform to target clients:

Small business comes with an opportunity they can use current customers to draw in new customers.


Changing market movements:

There are some threats for all business the market tendencies for business going to improve after some times the pattern for business is different that why from the dangers for business.


The big risks for business is your competition with their opponents today's market styles is cutthroats competition developments so if small business want to endure against their opponents they have to gain a competitive edge against their challengers.

Economic downturn:

The overall economy of business is in recession that is the big threats for small business to endure against big supermarkets.

Hence, above SWOT evaluation shows that for small business like lidl there may be some strength they can endure their business and also there are a few weaknesses they can remember and there are some opportunities to build up their business and also there are a few exterior factors like competition, economical downturn and changing market styles these are some threats to survive small businesses against big super markets.

Now I am going to discuss about several reasons why small businesses will fail. You can find most ten explanations why small businesses are unsuccessful.

Costs too much:

When running a small business they want money to development as well as need more money for invest in new job also they need more staff they also need big space for business when they are growing in addition they produce their own product that will eventually more profitable here eventually means long time process for this they need long time investment so in retrospect costs is going to very high than expected and also small business facing problems to endure. To survive against this reason there are some reason suggested.

Management control: To beat out of this problem business have their management planning and control for future which is the primary aspect of business to make it through against this problem.

Ability to take computed risk: Every successful business has major risk to try make their business successful. So many risk that for business to attain their goals if business can handle it then they can move further.

Plan and evaluate: For owning a costs finance is best element. Small business has their own planning and analysis to get over from the situation.

Getting and taking advice: For managing financial risk business have to take or find the financial advice from other financial advisor to manage their costs.

Flexibility in the business structure: When any business has going to develop they want more staff more space for business to the the structure of business is need to be flexible.

Running out of cash:

The major reason why small company is going to fail due to working out of cash this problem causes are lack of financial understanding and insufficient management control and also debt and market and monetary problems this all exterior factors affect the businesses to endure in market. To survive against this reason there are a few points recommended as follow,

A clear concentration: A specific concentration and financial control and management control must solve this issue.

Plan and examine: To make it through from running out of cash business have evaluate their self as well as have to arrange for costs cutting, offering a brand in a fresh market and also plan for managing funding.

A financial feel for the business: Survive the business enterprise against jogging out of cash business needs funds it happen from the reserves and it is also very helpful in critical conditions.

Good business connections: When business going to operating out of cash they need to take some action for survive to the they want money if their marriage with banking companies are good they can get easily loan or overdraft for survive

Getting the best from your people: Team work is also important element to spend less and also kept team encouraged during hard time and also built versatility in costs framework.

Lack of management control:

Management is best element for any business and it shows how well maintained business can change the development and how easy for taking management granted. To avoid this threats there are some point to retain in mind.

Management control buttons/ to lead or mange the business:

There are different types of management control use like handling staff to get good and high quality productivity monitoring the price/ quality balance of staff output managing fund to keep the business profitable and cash positive managing debtors control to be used for lead the business.

A financial feel for business:

This is useful tip for most small business to acquire they could get it done on a weekly or regular monthly basis.

Market plan and assess:

For the business developing first they have got reviewed the marketplace on which way it heading and then they analyzed different option competition in the market and then make a market plan for future.

Getting and taking advice;

Business needs market advisor for what is the errors business did and how they can manage the business and exactly how they control the management and make a management plan for future.

Funding problem:

Funding is the most crucial part for any business and the process of obtaining and controlling that fund is also a big challenge for the business enterprise. This is the primary issue for any business from where they can have the finance and where are they heading to get.

Getting and taking advice:

For small company fund they desire a financial advisor to deal with the investor and with administration.

Flexibility running a business structure:

If small business is reliable on financing it is very bad they want flexible and susceptible framework for avoid this risks.

Plan and assess/funding time:

They have to make alternative funding plan like short term and permanent plan for financing the business enterprise.

Good business relationship:

Good business network is help with no immediate expectation of a come back and good business connection also help in money problems.

Loss of target:

There are so many exterior factors like competition, tough economy which make a difference on the focus of business and their activities and there for they can not survive and focus on market.

Plan and assess:

Business must evaluate all the problem and future hazards and then they have to make a plan to survive against future dangers to allow them to concentrate on future.

A clear concentrate:

Business has clear concentrate for growing and growing their business this will make it through against future changes.

Being proactive and protecting dedication to business success:

To commit against troubles and being proactive and preserving is also best for success.

Sales too low:

When any business well established and producing that process take very long time and also acknowledge their market that the sales is too low. To maintain sales business need to take serious action and handled their sales.

To lead or to manage the business:

To lead or to manage the business enterprise they have to maintain their sales and business.

A feel for the market:

Feel for the market is the key for future years success they have to study the marketplace and then they have to make a marketing intend to increase their sales.

Management settings:

For maintain business sales control on management is also very important they need to motivate the staff for increasing their sales.

Plan and evaluate:

Business have always examine their position in market plus they have to check their sales on the market and they want to do a marketing to increase their sales

Quality of service:

When business built on an excellent of personal service they need to provide good services with their customers but when they retain new staff they have no understanding of services and they are not experienced as old personnel this reason s also impact the business enterprise.

Plan and examine:

What our customer expect from us what type of personnel we needed what type of services customers want from the business enterprise first evaluate these all issues and then arrange for providing good services with the teach the personnel.

Finding time:

For providing an excellent service to customers they need a good staff and for that they want time to determine and train their workers.

Market changes:

The market craze is always change time by time if business cannot track changes then they cannot make it through against market changes.

Plan and examine:

For the small businesses market craze is always change to survive from this market change they need to measure the market position and what exactly are the changes manufactured in market also to make it through against market changes company have to make a plan.

A feel for the market:

To gain benefits and growth for business feel for the marketplace also needed.

Bad bad debts:

Business needs money to perform however, not control on costs and bad debts are the major reason to fail or never to survive the business nowadays. To overcome out of this situation there are a few points which must bear in mind.

Management control:

To overcome on bad debts situation business needs to tight the handles on managing costs and their debt.

Getting and taking advice:

When debt happened it is necessary to regulate or manage bad debts and for that business need to get or even to take the advice from the professional on debts collection.

Flexibility running a business structure:

In crisis with money business needs money to endure or mange their costs and then for that they get the amount of money from the lender or get credit using their supplier. Business must make an idea to get money from the several option.

Being proactive and preserving:

Business needs proactive system of credit control and it has it taken the initiative in its romantic relationship with its banks this type of planning is control the problem of bad debts

External factors;

There are so many things which affect the business enterprise and its not in owners handles like economics collapse, downturn, flood those types of external factors affect small businesses. To overcome out of this situation business needs to plan and evaluate all the exterior factors.

Plan and assess:

When the business enterprise going to produce a plan they needs to evaluate all the internal and external factor which make a difference the business enterprise in future and mind all the unexpected factors as well and also make an idea for survive from this all factors.

Hence, if there are some reasons to fail the small business than there are some solutions to survive the business.

1. Finding time:

Time is the most crucial factor to endure the business. Once you making time plan there are some questions to keep in mind, what is the most important? What is the immediate? This all works need more time to spend and how business spend their time and energy to each activities of business is very important for business to survive in market.

2. To lead or control the business:

For small company to lead or for manage the business they need leader or manger. To lead or mange the business enterprise innovator or manger have to plan the market segments, products, finance- revenue and cash, staff and for distributor as well.

3. A financial feel for market:

Finance is the main thing for any business to endure big very stores has enough financing to endure their business but small businesses have insufficient finance to endure their business in downturn. Developing a financial feel is the understanding which way business heading economically and also about revenue and loss. Business can survive against any changes and hazards or any serious problem with the aid of the financial feel.

Plan and evaluate:

Plan and evaluate is most important part of the business has to examine their market, change, business also evaluate their opponents and what exactly are they doing? Business must also review their customers. Business also need to evaluate their staff and their contribution and also business has assess their supplier and exactly how they doing. After assess this entire thing now business has to make an idea about their external funding, market, competition, customers and staff and also about their suppliers. Business also needs to make a plan about their strength and weaknesses and opportunities and threats as well.

External funding: For running the business, it requires funds and for planning the external account some questions keep in mind; how much fund business need? What are the influences of the external funding on the business? Will business need more fund?

Market: When planning market business needs to think about some questions. How big is the market for business? Has the market is going to change? What's the existing position of market? How do business increase the market share?

Competition: In competitive market business needs to think about some question. Who are their competition? What are they doing? What are their competitive advantages? How do business gain competitive edge?

Customers: When doing customer planning business need to bare some question in mind. Who are their customers? What are they purchasing? What they think about products and company? Do they want to improve anything?

Staff: When business making a plan it also needs inner evaluation as well about their staff. How is the personnel doing? Do staff needs any training, information or any help to improve their performance? How can business motivate staff for more fruitful?

Suppliers: business also needs to understanding of their suppliers. Do business received the best provider? Conduct business has optional supplier? Do business got the best term and price from suppliers?

Strength and weaknesses: Smaller businesses also need to think about their strength and weaknesses to improve their performance. What exactly are the business strengths? How can business move forward with the aid of their strengths? What are the business enterprise weaknesses? How can control or take care of their weaknesses

Opportunities and dangers: Smaller businesses have to arrange for the opportunities and risks as well. What exactly are the business enterprise opportunities? How do business taking an good thing about those opportunities? What are the threats? How do business avoid or handle those threats?

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