In managing a business, success mainly depends on how the business catches the opportunities and overcome the challenges. However, the differences and similarities will vary with the size, type, and structure of the businesses. This report will identify and analyse the similarities and differences the opportunities and challenges of the large corporation compared with small businesses.
WHAT IS LARGE AND SMALL BUSINESSES?
According to Australian Bureau of statistics, companies with more than 200 employees in manufacturing industry or with 20 employees in non-manufacturing industry are defined as large business.
The law defines a small business concern as "one that is independently owned and operated and which is not dominant in its field of operation." (cited Brian Gibson, 2001) Normally, small businesses owned less than 20 employees.
Table of differences and similarities between large and small business in opportunities and challenges:
Level of well known Motivation
Size of structure Catch up the market
Success Training for employee
Financial risk Profit maximising
Continuity Responsibilities to society
In managing businesses, seizing the opportunity is the key factor to the success.
However, different sizes of businesses will have a different result in facing the same situation. For the differences between large and small businesses, (1) level of well-known, (2) size of structure, (3) financial risk, and (4) flexibility are the four main factors.
1 Level of well-known
Widely spread of branches for large businesses, visibly, have notable enough to attract national attention; therefore, they have influence to society. Furthermore, the reputation helps to attract skilled or professional workers to join the businesses. So, it would be easier to apply new business plan in large businesses.
But it is not such case for small business. Comparing with large business, small business probably has a difficulty to develop a larger project...