Why Is a Small Business Potentially in a Better Position to Achieve Customer Satisfaction Than Is a Large Firm?

Topics: Customer service, Small business, Business Pages: 3 (664 words) Published: September 28, 2011
Why is a small business potentially in a better position to achieve customer satisfaction than is a large firm? Large firms usually have a competitive advantage over small business in most elements in business operation (Longenecker, Petty et al. 2003; Longenecker, Petty et al. 2010). However, customer satisfaction has been questioned as being potentially better achieved by Small business than by large firms (Longenecker, Petty et al. 2003; Higgins 2009; Tjan 2009; Heaney 2010; Longenecker, Petty et al. 2010). There are a number of valid reasons for why small business can excel over large businesses in this area (Higgins 2009; Tjan 2009). In today’s fast paced business global environment, customers are seeking quality customer service and satisfaction to compliment a good/service purchased (Longenecker, Petty et al. 2003; Heaney 2010; Longenecker, Petty et al. 2010). While all businesses can provide quality customer satisfaction, small business has a far greater potential to achieve this goal due to advantages of being highly flexible, offering unique goods/services (due to the lack of corporate policy and bureaucracy) and the ability to serve customers directly (Longenecker, Petty et al. 2003; Heaney 2010; Longenecker, Petty et al. 2010). It is this personal interaction and relationship focus that can truly provide a quality difference (Longenecker, Petty et al. 2003; Tjan 2009; Heaney 2010; Longenecker, Petty et al. 2010). Large firms have often failed at providing enough customer satisfaction due to the lack of a personal touch, often given by a smaller business (Murray 2003; Tjan 2009). Tjan’s explains that large companies often associate customer service and satisfaction to standard operating procedures and scripted answers (Tjan 2009). This perception of service can often create frustration and lacks the empathy and common sense approach that a flexible small business can bring to the relationship(Tjan 2009) . Large companies like BT and Xerox have...

References: Heaney, C. (2010). Great personal service wins for small business - study. The Herald Sun. Melbourne.
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