Following are the results of a survey commissioned by Profitkoach in 2011.
The survey targeted small and medium sized enterprises (SMEs) and focused on the challenges experienced by small business entrepreneurs in Australia. Brian Bijdeveldt, director of ProfitKoach, said the survey showed that three areas accounted for 76 percent of the challenges experienced.
Australian Small Business Owners Face Three Key Challenges
Our analysis has given us an insight into the key challenges faced by Small & Medium sized Enterprise (S.M.E.) in Australia. We have categorised these issues into the following segments:
Based on our survey and analysis of over 100 businesses we have found the key challenges faced by SMEs are distilled into 3 key areas:
The following table depicts the distribution of businesses nominating each of the key segments as their main challenges. Fully 76 percent of the response is evident in three areas.
The following table shows the key challenges identified by the SMEs during our research under each key segment:
In terms of Sales and Marketing, it was found that SMEs spend very little time in planning and budgeting for their sales and marketing activities, and often base them on an adhoc approach.
Other issues communicated by business owners related to:
Other concerns were inventory control, staff satisfaction, waste elimination, unproductive use of time and reducing supply chain costs.
In most cases, smaller retailers are operating with a short sighted view, without any real business knowledge, absorbed ‘in their’ daily business and unable to work ‘on their’ business to employ more people to delegate smaller tasks and concentrate on growth strategies.
Financial issues are often related to poor sales and ineffective human resources management. Funding is becoming a major issue for many corporations, and is likely to become critical in 2012 as banks tighten their lending criteria.
Surprisingly, although international markets / exporting was regarded as a key growth area by many corporations, Australian businesses especially SMEs are still largely unprepared (needing quality market research and business intelligence) compared to their counterparts in Europe and North America.
Australian SMEs may have been missing a lot of business opportunities overseas due to a lack of ready access to valuable global market information.
Brian helps small business owners win back their time, passion and performance utilizing a proven step by step blueprint for success. A coach and consultant for over 10 years specializing in business growth strategies.