The Dynamic Role of Small Business

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• Chapter 1
• The Dynamic Role of Small Business

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Chapter Outline

• It's an Interesting Time to Be Studying Small
  Business.
• Defining Small BusinessNo Easy Task.
• Some Unique Contributions of Small Business.
• Some Current Problems Facing Small Businesses.
• Some Current Trends Challenging Small Business
  Owners.
• What You Should Have Learned.
• 
  
  

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Percent Distribution of Employees by Size of
Employer
Text Figure 1-1
TM 1-2
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Size of employer (number of employees)
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Percent Distribution of Business Establishments
by Size of Employer
Text Figure 1-3
TM 1-4
Establishments
Size of Employer (Number of employees)
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Classification of Businesses by Size, According
to SBA

Text Table 1-1
TM 1-3
VERY SMALL Under 20 Employees
SMALL 20-99 Employees
MEDIUM 100-499 Employees
LARGE Over 500 employees
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Percent Distribution of Employees in Large
Small Firms
Text Figure 1-4
TM 1-5
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Some Unique Contributionsof Small Business

• Encourage Innovation Flexibility.
• Maintain Close Relationships w/Customers
  Community.
• Keep Larger Firms Competitive.
• Provide Employees w/Comprehensive Learning
  Experience.
• Develop Risk Takers.
• Generate New Employment.
• Provide Greater Job Satisfaction.

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Some Current Problems Facing Small Businesses
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• Inadequate Financing
• Inadequate Management
• Burdensome Government Regs
• Paperwork

TM 1-7
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Some Current Trends Challenging Small Business
Owners

• A More Diverse Work Force.
• Empowerment Team Performance.
• Exploding Technology.
• Occupation Industry Shifts.
• Global Challenges.

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Labor Force Distribution by Race, 1998
Projected 2008
Text Figure 1-5
does not necessarily add up to 100 because of
rounding.
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