Innovation and Small Business
Small business owners, with their intimate knowledge of their customers, are well positioned to be more innovate. Many entrepreneurs view innovation as a float out frightening concept. Although business owners are under pressure to bring new products in order to make the mane for the companies, they are advised to, at many times innovation will come from within (Ulwick, 2002).
Small business networking is also beneficial for small business owners in expanding their client base and overall reach. Networking can be done in different ways this will depend on what the owner of a business finds it suitable for him or her. Most of the business people will make connections during their leisure time, for example, when playing golf, during the happy hour and on organized events. Engage fellow business owners will be the main objective so that they can learn the products or services your business is offering (Ulwick, 2002).
Networking is about establishing relationships, and sometimes one will have to give a little in order to get in return. Everyone should be part of it including those working from home; they should not be left out and should stay connected on the social media to be updated on the various events (Ulwick, 2002). It is important form relationships with other small business within the community by, attending events, meetings, speeches and other networking opportunities.
Meeting people will create a solid foundation and in addition to that it will show a positive trustworthy with fellow business owners. It is important to connect with our newest contacts through emails or social networks immediately following g the event. This is the time the businesses cards will become handy, and it is important to print many business cards with the name of the director in it, state the brands, as well as the contacts.
Differences that managers face in a service firm when compared to a manufacturing firm.
In many large countries, the informal sector is quite large than the formal sector. This is because of the initial capital that the manufacturing sector is expected to part with. The manufacturing firms are typically large and hence prime targets for inspections by the government officials. A major obstacle for many firms is access to finance; this has been a major problem to managers of the manufacturing industries due to high capital for industrial set up. Firms are discouraged of applying for loans and thus limiting their growth (Roper, S. 1997).
Manufacturing firms are faced with more obstacles than the service industry they include: too much legal process to complete registration and the required fees to complete registration. The manufacturing firms are expected to adhere to certain regulatory requirement such as inspections and meeting with government officials. Managers in the service industry are faced with the challenge of measuring performance. It is challenging to measure performance in the service industry that in the manufacturing industry.
How service industries add value to their products
Adding value in banking
A lot of businesses and more on the service sector are focusing more on improving their customer services. Businesses should increase their innovation by finding new ways to offer a positive customer experience. This can be through searching for potential weaknesses. For service industries to stay competitive in the new market environment means offering products at a reasonable price but also the products should be tailored to meet the needs of consumers. For, example the Delta Dental plan have redesigned their work practice to leverage information among different products and providing customers with quick services.
How manufacturing businesses add value to their products
Maintaining any type of competitive advantage in today’s market is increasingly difficult, especially in manufacturing businesses. Innovative products and process design fade quickly when information is accessible. Driven by rising customers expectations manufactures increase the market with new products only to realize that the market is saturated and overloaded with innovation. It is important for companies for carry out research on what new features the consumer want. Companies are advised to produce products with only additive features and the ones that are in line with the demand in the market. For example with the launch of Samsung five in the market, is a very good example of value adding to the product.
Components of a business plan and the most challenging to complete as an aspiring entrepreneur
How to overcome the challenge using technology
The most challenging components of the business plan are description of the company products and services. The other component is market analysis that discusses the market that one is trying to enter, competitors, where ones fit and the type of market share that can be secured.
The company can overcome these challenges by adopting online marketing strategy; it is an easy and quick way to reach the intended consumers. Using the internet as a tool will eliminate the middlemen, and thus reduce the cost of the products and services.
The business can adapt to marketing innovation including the use of new channels of distribution and new advertising approaches for selling current and new products. Online marketing can be done using the invented application; it will be possible to reach everyone. This move has changed the way companies operate; this has extended beyond buying and selling over the internet (Audretsch, 1990). Many consumers have adopted the online shopping, and this has resulted to competitors lowering their costs and prices across the demand chain.
References
Ulwick, A.(2002). Turn Customer input into innovation, Harvard Business Review.
Roper, S. (1997). Product innovation and small business growth: a comparison of the strategies of German, UK and Irish companies. Small Business Economics, 9(6), 523-537.
Acs, Z. J., & Audretsch, D. B. (1990). Innovation and small firms. Mit Press
