3 Ways Entrepreneurs Can Compete with Big Companies

Posted on 04. May, 2010 by Vivek Krishnan in Entrepreneurship

It can become quite intimidating to enter a market where there are big companies that are maintaining themselves. So how can you fight them and really stand out as a startup entrepreneur? Here are 3 ways you can compete with big companies:

They Have More Bills To Pay

Big companies have a lot of running costs involved. It is unlike the costs that you experience when you run a website. It is not simply about paying for your domain name and web hosting. The bills for big companies include paying for their office rent, huge army of premium writers, overheads and then they have investors to please. This causes them to be target a huge share in the market. Since your expenses are much much lesser, you can earn profits even with a lesser share of the market.

You Can Be Down-to-Earth

Big companies have a big problem when they have to understand what the common customer really wants. You, on the other hand can connect more easily with your customers. Some services provided by the by big companies can be very complicated and over-priced. This is where small startups like yours can help customers by providing affordable and simple alternatives to the customers.Simplicity is something most companies will skip in their business online and simplicity is what really sells (read “Google”).

Have Your Independent Business Model

It is highly probable that you are tempted to have a business model that replicates most of the big-players in the market. But this is where you need to understand that your own independent business model is what will earn you profits. No amount of parallel marketing to your big competition will help you survive. In fact, if you head in the same direction as them you will be collecting losses.

These tips basically provide ways to adapt to the high-level of competition big companies might offer your website. The trick is to make your own independent impression and impact on the model.

Tags: Business Model, Competition, Internet Companies, Internet Entrepreneurs, Simplicity, Startup