The daily challenge of small and medium enterprise at the start of trade

Recently, small and medium-sized enterprises (SMEs) have been seduced as the main driver of a country's economic growth. There are also excellent subsidies for local and national income in developing countries. SMEs strongly encourage personal ownership, entrepreneurship and know-how. In addition, they can suddenly adapt to changing market conditions, induce employment, contribute to the expansion of economic activity and form a consistent contribution to export trade. In this article, we will consider the day-to-day challenges of small businesses when opening a transaction.
Over 50 million SMEs are directly present, and over the last 50 years, the SME district has grown vigorously, accounting for 40% of the country's exports and occupying millions of jobs annually. In terms of job creation, ambition and creativity, the SME sector is very likely to make progress in the coming years. However, due to the difficulty of appealing, the district fought every time. Unfortunately, the trend of appeal next year is also showing a shrinking trend.

 

Image by Tumisu,

Challenge of small and medium enterprise at the start of trade:

Following are some challenges of small and medium enterprise at the start of trade.

1.  Leadership:

There is no academic qualification to become a small business leader. Even if small business leaders are offered, most entrepreneurs will not. However, due to the many challenges of running a business and managing people, many owners fail because they do not have the right skills.
Some people believe that leadership must be born. From my experience, that is wrong. Currently, there are many great books on leadership that show that you can learn the right skills. You don't have to be like Richard Branson to be a great leader in your company. All you have to do is acquire the right skills and habits to make a difference to your team. It is even more important to have the right leadership style, as leadership skills are most tested during the economic turmoil of COVID19 and the subsequent recession. 

2.  Culture:

Over the past few years, entrepreneurs have realized that finding the right culture has become increasingly important. The purpose of the company must be clear, and the values ​​of the organization can flow from that purpose. The four values ​​seem to be the maximum values ​​that anyone can remember and successfully incorporate into a company.

The most important values ​​for a well-run, great company to work and do business are: •

 •          Professional/Integrity/Honesty

•           Customer Service/Going beyond/Falling Over Backwards

•           Initiative/Self Starting/Innovation

•           Respect

This creates a clear culture in which members seek to protect and develop. There is a saying that "culture beats strategy every time", but I think that is certainly the case in our complex, vague and rapidly changing world.
In times of turbulence where overhead costs need to be reduced, it is important to ensure that you continue to uphold your values ​​and work towards the development of a resilient culture. 

3.  Strategy:

The result of the lack of leadership development in most SMEs is the lack of business planning. Today, there are well-documented one-page businesses planning tools that really help organizations focus on what matters most. See: Strategy Zizer Business Model Canvas & Traction by Gino Wickman. It doesn't take long to capture ideas, what the company needs to reach its goals in three years, and how these ideas are. It takes enough time to figure out if it works. It will be realized. It can also help with team development if the company's key players are involved in the "way" to execute the strategy. I say this. Because, as a business owner, knowing that your team is also working on your business can be terrifying and liberating. However, my own experience has shown that if the goal is correct, the team "achieves it" and strategic development accelerates. 

4.   Making the Business Stand-Out:

Finding competitiveness in today's crowded markets can be a real challenge. It's important for any business, but it takes time, money, and resources to ensure that everything a business can do to stand out from the crowd.
It can be difficult to pick a small company in today's market, but here are some ways people can compete:

• Quality
• Customer Service
• Convenience (Local/Delivery/Stock availability)
• Difficult to buy it elsewhere
• Your expertise
• Price

Systems and Processes:

Many SMEs seem to believe that systems and processes make them less competitive. In fact, the opposite is true. A good, well-thought-out, trial-and-error system and process means that what is offered to the customer, be it a product or service, is what the customer expects and is delivered correctly from the beginning every time. This means they will come back more and talk to friends and contacts about it. 

6.   Productivity:

Productivity focuses on high quality systems and processes. But that's not all. It is the awareness of the entire company. Lean thinking needs to be permeated throughout the organization so that everyone at all levels of employment can act smarter.
Once an issue is identified, the team addresses the issue rather than attending a meeting to theorize it. You may be able to fix it quickly and easily by talking directly to the owner of the problem. It greatly reduces the complications that result from misunderstandings.

Lack of entrance to new technology:

In recent years, automation is progressing due to the spread of mobile phones and cyberspace, but if the adoption of automation by SMB continues to be sluggish, the capacity will constantly decrease. This did not make them competitive with increasingly widespread advertising.
Currently, SMEs in cities around the world are open-minded and constructive towards taking over industry, but local stations are not very advanced. This will continue to be challenged in 2018. Cumbersome regulatory practices Administrative practices such as building permits, repairs, securities / guarantees, and obligations will continue to be compelling factors for many SMEs to further develop such businesses in 2018. The lack of a common governing body and inadequate regulation of start-ups will hinder the further development of such companies.