SMALL BUSINESS ENTERPRICE

Small Business Enterprise



Executive Summary

Alice Clothing (AC) is an initial set-up of T-shirts and Jeans retail establishment in London in United Kingdom. AC is in believe to get the interest of a routine loyal customer base with its huge variety of T-shirts and jeans products. The company is in view of building a strong market position in the town, due to its partner's experience in industry and sounding competitive climate in the area. AC aims to target middle-to-higher income local residents with products at a price which compete with competitors to meet the demand.

Small Business Enterprise

Introduction

The enterprises where there is less than 250 employees work are known as small business enterprise. The definition of Small business enterprise varies technically from region to region however; it is normally based on the assets, employment or combination of both. There are different definitions of Small business enterprise in few countries related to service and manufacturing sector. Some authors have been able to provide extremely important definitions related to Small business enterprise in which most common definition was given by Fong (1971) where he stated that the business that do not exceed more than 100 employees is known as Small business enterprise. Other authors defined Small business enterprise as a business, which normally turn around entrepreneur or the owner. Verhees and Meulenberg (2004) raised the same point that Small business enterprise is a business that is managed and controlled by the owner without any involvement of other stakeholder (Blackburn, 2003, p. 154).

Small business enterprises have had an important role in the development of many economies (Asheim, 2003). Every big corporation starts out small, and grows out to be big. which has the aim of supporting and sustaining small business enterprises. These enterprises have played an important role in the development of this borough which in turn has contributed to the local economy. Developed, developing, and under developed countries in their cycle of development have realised the importance of Small business enterprise for their economic growth and development. Small business enterprise is also viewed as significant contributors to the Gross National Product (GNP), and their ability to generate self-employment. Small business enterprise has a significant role on creating wealth, and reducing poverty (Nelson & Prescott, 2003).

Historically, Small business enterprise have played an imperative role to contribute towards the progress of different countries economically all over the globe and no growth is considered when few people employ the benefits of economic reforms while greater elements are being exempted. The unnecessary impact of present downturn linked with economy has influenced socio-economic position of people living in different regions. Because of these negative conditions, it is important for Small business enterprise entrepreneurs that they make improvement in their formation capabilities of employment.

Advani (1997) stated that from perspective of socio-economic development, numerous benefits are provided by Small business enterprise and it is more probable that this sector will continue to contribute towards economic development of any country, city or ...