The main task of this part of the research paper is to provide recommendations for the further development of the business, taking into account, all the mentioned factors. The factors that have been mentioned are: characteristics of a particular industry, specific characteristics of small business and its management, certain features of a certain business.
The main trends that influence development of the industry are the following:
Global financial crisis and its consequences;
Decreasing incomes of the customers that significantly influence demand on these products and these services;
Growing borders of the market. First of all, we mean fast development of the Adian markets and markets of Central and Eastern Europe;
Fast development of Internet and online commerce. It opens new opportunities for growth of this segment of business. For example, the company is able to increase its sales via establishing of an online shop, etc.
Also, specific features of small business and its management have been considered in the paper. This type of business has a lot of advantages and disadvantages on the other hand. The main advantages are: high degree of flexibility; tax loyalty and preferences; easy way of establishment and elimination; easy way of management of a company (it is probably the biggest advantage of this type of business) etc. Our opinion can be proved by the following words.
“One of the major advantages of small businesses is that the investment for running the business is not a major issue. Small business grants, financial aid and economic support is readily available to persons owing a small scale business. These grants are issued to business owners from government run programs to banks and other big business corporations” (Advantages and Disadvantages of Small Businesses).
Among the disadvantages the following ones can be pointed out: difficulties in accumulation of required finances; dependence on a single owner and its well-being; limited opportunities for growth, etc.
Small company is probably the best option for the business and industry under consideration. This company should be flexible in order to follow fast changing industry. It also should be the main source of income for the owner and the family. Small business is an optimal alternative.
The main recommendations for the company under consideration should be the following:
To develop online platform of the business. Taking into account pace of development of Internet, it is probably the best way to increase the number of clients and respectively, sales;
To conduct aggressive promotional campaign. The degree of competition is really significant in the industry. That is why, in order to distance from competitors the company should be persistent and even aggressive. It should use all the possible media, including Internet. Social networks can become a powerfull marketing instrument in this context;
The company should accumulate additional financing in order to realize the mentioned goals. There are a lot of ways of getting financing. Generally we can point out equity and debt financing. The best for small business is to get credit from a commercial bank. Also, it is possible for the owner to borrow money in family, friends or other …