You may know the story of David and Goliath, but do you have a clear understanding of how your small company can compete and win against your large competitors?
If you are an entrepreneur, you may wonder how small companies can compete and win against their big competitors. It can seem like nothing short of a daunting challenge. After all, big companies have more money, more resources, and more market share. But that doesn’t mean that they are invulnerable. The trick is to successfully identify their weaknesses and formulate a plan of attack, leveraging a variety of competitive advantage strategies. You can start by asking yourself questions like: What can you do better than those competitors? What market pain point are they ignoring? What advantages does your smaller, nimbler business have relative to customer engagement, talent management, or new market opportunities?
Your Company May Be Small, But it Can Compete
The reality is that small companies have numerous advantages that, in concert with the right business strategies, they can capitalize on to compete effectively. For example, they are typically much closer to their customers than large companies are, which can be leveraged to create an information advantage. They are also able to be more nimble, giving them a time advantage, and more focused, giving them both a scope and scale advantage. It comes down to understanding the benefits of being a smaller company and making sure that you fully exploit them.
But it’s not just about taking advantage of being small. It’s also about undermining some of your large competitors’ natural strengths. Having great senior managers, well-established customer relationships, and fantastic distribution channels are often among the benefits of being a large company. Yet there are ways that small companies can minimize these strengths and, in many cases, even create an edge. At the same time, there are specific steps that small companies can take to defend themselves against attacks from their larger competitors.
Slaying Goliath: How Small Companies Can Compete Against Their Large Competitors demonstrates that the key to winning against larger companies is to understand your own strengths, identify and exploit your larger competitors’ weaknesses, successfully defend against their attacks, and execute against your goals better — and faster — than most bigger businesses are capable of doing. It stresses that once you develop some momentum, it is important to never take your foot off the gas.