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One of the advantages enjoyed by these companies is the economy of scale. This is due to the creation of an advantage on cost. Therefore these huge corporations would end up decreasing the cost that they averagely incur per each unit by increasing on the total number of units that they produce. This eventually translates into cheaper and more affordable end products something that the smaller corporations cannot afford to give.
Another good thing about these companies is that they can invest more in specialization through the breakdown of the production process into separated smaller tasks. At the same time, they are able to hire more specialized workers who offer better services than the smaller corporations. Therefore even if the large corporations might be inefficient in terms of waste scales and delivery of their products, they possess all the human resource they would desire to satisfy their customers.
Huge companies further enjoy a powerful bargaining power when it comes to dealing with its suppliers. They can easily negotiate for fairer prices with their supplies due to their massive demands unlike the small companies. Moreover, they can adequately use those resources that are considered indivisible unlike the smaller corporation to whom such resources might be regards as wastage; example is facilities for doing research to better their services or sometimes even campaigns of advertisements.
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Being a small or a medium business owner, there are limited options of ensuring that you make an impact in the market. One of the ways to ensuring continuity in business is by giving quality services and goods at all times hence get good referral customers from other satisfied customers. This would eventually develop into a large customer base. It would also require the hiring of a few professionals to keep your customers satisfied. However the cheapest option would be to properly utilize individual networking and use of internet advertising. Most of the available options might be expensive for the small business but with time profits will trickle in due to a growing customer base.
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