Super SMEs emerge from downturn
Dec 08 2008
'Super' small businesses have emerged from the economic slowdown and are outperforming the rest as they have not fallen into the 'classic pitfalls' some companies do.
David Molian, lecturer at the Bettany Centre at Cranfield School of Management, says there is a small minority of small to medium enterprises (SMEs) which outperform others in both a boom and a bust.
He says these firms avoid some of the common pitfalls often seen in some businesses, such as diversifying too early.
Molian states: 'They tend to find a profitable niche opportunity and then they really focus on that niche and get better and better at what it is they do.'
He adds that these firms then grow around that core business.
A report from Plantronics, a manufacturer of communications headsets, found 16 per cent of SMEs say they have not experienced any ill effects of the credit crunch.
David Molian, lecturer at the Bettany Centre at Cranfield School of Management, says there is a small minority of small to medium enterprises (SMEs) which outperform others in both a boom and a bust.
He says these firms avoid some of the common pitfalls often seen in some businesses, such as diversifying too early.
Molian states: 'They tend to find a profitable niche opportunity and then they really focus on that niche and get better and better at what it is they do.'
He adds that these firms then grow around that core business.
A report from Plantronics, a manufacturer of communications headsets, found 16 per cent of SMEs say they have not experienced any ill effects of the credit crunch.
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