The Business Book

(Joyce) #1

177


Organizations recognize the power
of feedback and often encourage
customers to post comments
online. Fashion retailers, furniture
manufacturers, and retail stores—
even dental and medical practices
—invite customers to comment on
and share their experiences. Small
companies benefit from this trend,
since their personal service is more
likely to generate positive reviews.


A more personal service
The Internet has removed the
“middle man” from many areas of
business. The travel industry is one
example, since travelers can now
book direct with airlines. Another
example is the book industry, where
authors can self-publish via the
Internet, taking their fiction straight
to readers without the need for
literary agents or big publishing
houses. The runaway success Fifty
Shades of Grey by E.L. James began
life as a free ebook on the Internet.
Previously, mass production and
limited space in brick-and-mortar
stores dictated the range of goods
a business could stock. Now, small
businesses selling niche products
or services can thrive because the
Internet connects them to
consumers looking for exactly these


offerings. People wanting to buy a
spare part for an old car, or a rare
edition of a book, can search and
buy from anywhere in the world.
Small companies can also thrive
through customization. Digital
methods of production and online
retailing enable narrowly targeted
goods and services to be profitable.
Customized production of a single
item is possible—from personalized
books, mugs, and clothing to
customized cars, furniture, and
even houses, which can be
designed and tailored online.
Customers can get exactly the
item they want, delivered at the
right time and at a price they are
willing to pay. Websites offering
personalized printed items are
small businesses with software
that allows consumers to approve
the final design and send it straight
to print, so employees are only
needed for packing and shipping.

WORKING WITH A VISION


Although small businesses can
thrive on the Internet through their
own websites, many now use portal
websites as a “store window” to
reach a wider audience. The British
company Not on the High Street is
one such portal. Started by two
working mothers as a marketplace
for personalized creative items, it
launched in 2006 with 100 small
businesses (many of them women
working at home). In 2013, the
business had grown to include
1,600 partners and had a turnover
of more than $23 million.
Not on the High Street is
successful because it combines the
idea of personalized products with
an awareness of the producer, giving
buyers the chance to select a local
maker. Although it promotes global
trade, the Internet can enable a very
personal form of communication
between buyer and seller, regardless
of size or scale. ■

The Web does not just
connect machines, it
connects people.
Sir Tim Berners-Lee
UK inventor of the World
Wide Web (1955 –)

Small businesses can receive market information just
as quickly as large companies thanks to the Internet,
but due to their size are often better placed to respond
quickly and adapt to changes in demand, supply niche
products, and deliver a more personalized approach.

Small
business

Online
market
information

Large
business
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