Get premium membership and access questions with answers, video lessons as well as revision papers.

Advantages and disadvantages of small businesses

      

Advantages and disadvantages of small businesses

  

Answers


Faith
Advantages of Being Small
1. Freedom of action and decision making for owner, manager
2. The owner, manager can take quick decisions/actions where situations change. (No need to consult with others).
3. Little working capital—so many Kenyans can start small businesses.
4. Better supervision and control.
5. Since owners are members of local community they can assess market needs better.

Disadvantages of Being Small
1. Lack of specialization the owner manager does all activities, buying, store-keeping, personnel, accounting, marketing, etc.
2. Difficulties in raising additional capital either for expansion or renovations.
3. Cannot attract qualified employees as it does not offer job security.
4. Lack of continuity.
Titany answered the question on October 26, 2021 at 13:03


Next: Disadvantages of partnerships
Previous: Failures of Small Businesses

View More Strategic Governance and Ethics Questions and Answers | Return to Questions Index


Learn High School English on YouTube

Related Questions