If you were to listen to all the news in the last 12 months, you’d be forgiven for assuming that 2012 has been a dire year for small businesses. However, according to the Department for Business, Innovation and Skills, the number of private businesses in the UK increased for the 12th year in a row to reach 4.8 million by the start of 2012. Almost all are small – more than 99 per cent, in fact, and the small business sector is growing more rapidly than any other. So how are they doing this, and as a start-up, how can you get a slice of the action and take on Goliaths that are monopolising industries?
Typically there’s a perception that larger organisations have the advantage due to size and brand awareness. But there is one area that can make all the difference to enable David to succeed: recognising and acting upon an inflection point in the market.
Inflection points are a significant change or shift in the market place, such as in costs, regulations, production or technological advancements. These changes are important because they can create a more level playing field allowing smaller players to challenge and disrupt large incumbents.