Managing Small and Medium Sized Enterprises: A Case Study of Imaginera

This report provides insights into the management of small and medium-sized enterprises using Imaginera, a software company in Oxford, England, as a case study. It covers the start-up process, sources of competitive advantage, current level of demand, competitive environment, growth and development, and challenges faced by the company. The report highlights the importance of identifying growth opportunities, managing funds, meeting customer needs, and making use of innovation to stay competitive in the market.

Managing Small and
Medium Size Enterprises

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Managing Small and Medium Sized Enterprises refers to using certain methods and
techniques for the appropriate management of the Business. Thus, the enterprises should be able
to progress by attaining a strategic and competitive edge over the competitors (Boakye and et.al.,
2020). The attainment of the Short-term, Medium-term and Long-term goals and objectives
should be done so that the firms are able to function effectively and efficiently. It is important
that the management is able to identify the way in which growth opportunities can be used. This
project will focus on Imaginera. It is a software company which is located in Oxford, England.
This is a Business which focuses on the needs and requirements of the customers and clients in
relation with the providing of different types of software and therefore makes sure that the
fulfilment of these needs and requirements can be done quite appropriately. This will therefore
help the Business to be able to progress in the market. In this report, focus will be made on the
way in which the management of these enterprises has to be done.
MAIN BODY
Nature of the entrepreneur behind the venture- It is a SME which provides the
products which are related with software to the customers and clients effectively and efficiently
(Brown, 2020). Therefore, the nature of the entrepreneur behind the venture was that there is a
need of ensuring that a wide range of software-related services are provided to the customers.
The entrepreneurs were therefore able to assess that there is a need of introducing these
particular services in the market so that the higher-level of satisfaction of the customers and
clients can be done in a right manner so that the profits can be enhanced.
Nowadays, the customers and clients prefer that the software-related services can be
provided to them so that the software development can be done quite effectively and efficiently
for attaining the goals and objectives. Therefore, it is quite important to manage the needs and
requirements.
Thus, in this way it can be stated that the nature of the entrepreneur behind the venture is
that through providing the software-related services goals and objectives in the future can be
achieved as the overall level of profitability will increase in this way. The customer and clients'
needs and requirements related to software can be done in a proper way so that the enhancement
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in the overall level of efficiency and effectiveness is done. Thus, in this way it can be stated that
the Business can attain a strategic and competitive edge over the competitors.
Thus, through Imaginera the entrepreneurs will be able to ensure that the best services
which are related with software should be provided to the people within the market so that the
enhancement in the satisfaction level can be carried out. Thus the people can be provided with
the products and services which can suit their needs and requirements (Chunikhin, 2020).
SME Start-Up Processes-
It is quite important that a right Start-Up Process is used by the entrepreneurs to be able
to start the enterprise (Madzimure, 2020). It will help in attaining the goals and objectives in this
way. Therefore, the Start-Up Process which will be used by an organization like Imaginera will
be as follows-
 Scanning the environment- It is quite important that a detailed scanning of the
environment can be done in a right way so that the Business Opportunities are identified.
Therefore, by scanning the environment the best opportunities can be identified.
 Identification of opportunities- It is also quite important that the identification of the
available opportunities can be done so that the right one among them is selected (Maelah,
Al Lami and Ghassan, 2020).
 Selection of the best opportunity- The selection of the best opportunity can be done
through this process which will therefore be quite helpful (Opute, 2020).
 Assessing the funding requirements- It is also important that the requirement of the
financial resources is assessed so that the funds are arranged by the Businesses which will
help them in meeting them and ensuring that the attainment of the funding-related goals
and objectives can be carried out which will thus lead towards taking of the appropriate
actions so that the management of the work is done in a proper way.
 Obtaining the legal permissions- It is necessary that the various types of legal
permissions can be obtained which are quite important for starting the business. Thus, it
can be stated that this can help in starting the business and therefore there will be no
problems and issues in initiating the start of the business.
 Starting the Business- After following all the above steps, the Business can now be
started so that the various types of customers and clients can be attracted towards the
products and services which are being offered by the Business which will channelize
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growth. The entrepreneurs can now start to target the wide range of group of customers
so that the required level of profits can be earned.
Business Concept and Sources of Competitive Advantage- The Business Concept of
Imaginera is related with ensuring that the software is provided to the customers and clients in a
right way. Therefore, this will help in ensuring that the Business of the company can be
enhanced in a right way (Papadopoulos, Baltas and Balta, 2020).
Furthermore, it can be said that there are a wide range of sources of competitive
advantage for Imaginera. An explanation about these particular sources can be provided as
follows-
 Services- Different types of services are provided by Imaginera to the customers and
clients in the market. These services are related with Software development as per the
different needs and requirements of the customers. Thus, in this way it can be stated that
the goals and objectives will be achieved in a right way by the company.
 Price of services- Imaginera charges a reasonable price for providing its services to the
customers and clients. Thus, it can be stated that the needs and requirements of the
customers should be identified and therefore it is necessary that the right methods and
techniques can be applied for fulfilling them in a proper manner.
 Skilled employees- In Imaginera, there are various types of skilled employees which are
able to provide their services in a proper manner to the company and therefore this is
helpful for the company so that it can make the progress in the future. Therefore, there is
a requirement that the hiring of such employees should be carried out for the purpose of
proper management of the tasks (Pech and Vrchota, 2020).
 Innovation- Imaginera has a creative team and through making the use of the innovative
ideas which are provided by the different types of team members in this team the
innovative processes can be used so that the new products and services are provided to
the customers in the market. Therefore, in this way it is able to make sure that it attains a
strategic and competitive advantage over the competitors in a right way quite effectively
and efficiently.
Current Level of Demand and Competitive Environment- There is a demand for the different
types of Software Services among the various types of customers and clients in the market. This
is so because nowadays there is a requirement in the companies that they are able to develop
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their software in a right way so that the wide range of customers can be attracted which will be
helpful in ensuring that the enhancement in the overall sales revenue can be carried out in a
proper manner. This will be useful in maximizing the efficiency and effectiveness in a right way.
Thus, this allows Imaginera to be able to ensure that it can work according to the set demand
level in the market which will therefore allow the company to ensure that the attainment of
progress can be made (Pereira and et.al., 2020).
Competitive Environment has been created in the market of Imaginera because the
company has to sustain in the market against the competitors in the market. Thus, Imaginera has
to make sure that the progress can be made by it as compared to the competitors in the market
(Pertuz and Pérez, 2021).
The PESTEL analysis of the Business is as follows-
Political factors- These are the factors which impact a Business like Imaginera because
the political situations can change quite quickly which can thereby impact the level of operations
of the organization.
Economic factors- These are the important factors which can create an impact on a
Business like Imaginera because the economic situations can change quite quickly and therefore
in this manner it can impact the company and its profitability level.
Social factors- These are also crucial factors which should be considered by a Business
because in this way it will be able to make sure that the social needs and requirements of the
customers should be considered and thus the development of the products and services should be
done accordingly.
Technological factors- These are important factors because the technology can change
quite quickly and thus it is necessary that the organization adjusts itself accordingly.
Environmental factors- These are also crucial factors because the customers are
nowadays quite conscious about the environment and therefore it is necessary that the right
decisions are taken quite effectively and efficiently by the Business in a proper manner.
Legal factors- These are also important factors which are required to be considered
because the legal rules and regulations should be followed in a proper manner by the Business to
operate successfully.
Macro View on Industry- The industry in which Imaginera Operates is Software
Industry. It is fast-growing industry which offers plenty of scope for the Businesses so that they
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are able to effectively and efficiently manage their software-related needs and requirements in
quite an appropriate manner quite effectively and efficiently in the future. Thus, In this way the
enhancement in the overall level of profits can be done which will thus help in making a proper
progress in the future.
Intellectsoft UK, Softwire and TatvaSoft UK are the main competitors of Imaginera and
offer it a high-level of competition. Thus, the company has to frame it strategy according to the
influence of these competitors.
Growth and Development of the Business to date- Imaginera is a company which has
made a rapid progress within the market. Thus, the company has been able to ensure that the
growth and development can be achieved so that the Business is able to make sure that it attains
an edge over the competitors which will lead towards ensuring that the Business can manage out
its particular needs and requirements in a better way.
The management of the company is planning to make rapid expansions in the future so
that it is able to effectively and efficiently sustain against the competitors which are present in
the market which will help it a lot (Sintha, 2020).
Further, the Business is also exploring the wide range of opportunities through which the
overall level of growth can be enhanced in the market. This is required for it for ensuring that the
use of the different types of opportunities to grow in the market can be made and therefore attain
sustainable level of success. Therefore, it can be stated that it is quite important for the
Businesses to be able to ensure that they are able to identify the right innovative process to be
used so that they can maximize the use of these opportunities quite effectively and efficiently
(Sogaxa, Simpeh and Ndihokubwayo, 2021).
Nowadays, the Business Environment is quite dynamic in nature and therefore keeps on
changing quite rapidly. Therefore, it is quite essential for the Businesses that they are able to
make sure that they can deal with the changes which keep on taking place in the Business
Environment quite effectively and efficiently. This will help them to ensure that their needs and
requirements are managed in a proper manner as they can keep making the adjustments which
are required to be made. The management of the Business will be done in a proper way if the
right steps are taken by the managers.
Challenges of managing and running the business-
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There are a wide range of challenges which are present in managing and running the
business (Tanco, Kalemkerian and Santos, 2021). An explanation about these challenges can be
provided in the following manner-
 Management of funds- These are challenges which are faced commonly by the
Businesses. The management of the funds is required to be done in a right way by the
Businesses which will thus lead towards ensuring that the use of these funds can be made
in a proper way. Thus, in this way it can be stated that Imaginera faces this particular
challenge because it needs funds to be able to facilitate its growth in the future in a proper
way.
 Managing the needs and requirements of the customers- The customers in the market
have different needs and requirements which are required to be managed (Yang and
Chuang, 2020). Therefore, it becomes quite important that the identification of these
particular needs and requirements can be done in a proper manner. Imaginera will thus
make sure that it is able to ensure that the enhancement in the efficiency and
effectiveness level is done so that the strategic edge is obtained in the market.
 Innovation- Innovation is also a challenge which is faced while running and managing
the business (Yushkova and et.al., 2020). In the context of Imaginera, it can be stated that
it has to regularly make the use of innovation so that it brings out a wide range of
innovative products for the customers so that the profits are increased quite appropriately.
 Challenges related with Staff- These are also challenges which are faced by the
organizations because in a Business where there are plenty of staff members there can be
certain problems as well and thus they are required to be solved by the Business.
Therefore, it can be stated that Imaginera has to make sure that the right way of dealing
with the challenges which are related with the staff is used for the purpose of solving the
problems.
 Growth and Expansion- It is also a challenge in front of the Businesses nowadays. This
is so because the Businesses are required to ensure that the identification of the
appropriate opportunities can be made by them for the particular purpose of growing and
expanding in the market (Zakharin and et.al., 2021). Imaginera is a company which has to
identify the way in which it has to grow and expand in the market by ensuring that the
use of available opportunities is made. This will be quite helpful in maximizing the
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available opportunities in a proper manner and therefore the attainment of the goals and
objectives can be made in a right way by the Businesses like Imaginera.
Current Growth and Development Strategy of the Business-
For the purpose of assessment of Growth Strategy, it is necessary that the use of Ansoff Matrix is
made by the Businesses for the attainment of the growth in the future. The Business therefore is
required to make sure that the use of the right growth strategy can be made so that the
enhancement in the profitability level can be carried out in a right way. The various strategies
which can be used as per this Matrix are as follows-
 Market Penetration- It is a strategy which can be used so that the penetration of the
market can be done. This is mostly used by the New Businesses so that they are able to
enter into the market in a highly effective manner for ensuring the attainment of the goals
and objectives.
 Product Development- In this particular strategy, the Businesses make sure that the
development of the products can be done by them to target the market in a proper
manner.
 Market Development- In this strategy, the Businesses are required to make sure that the
identification of the market where this strategy can be used so that the Business is able to
identify the way in which progress can be done and thus the profits can be increased.
Therefore, this will help in using a proper strategy for the purpose of making the progress
in the future.
 Diversification- In this strategy, the Businesses are required to make sure that they can
enter the new market by bringing innovation. If this strategy is successful then this will
help in ensuring that the use of diverse strategies can be made in a right way.
Justification- Imaginera is currently making the use of Market Development Strategy. This is so
because by making the use of this particular strategy the company is able to make sure that it
identifies the right markets where growth and expansion can be made and makes sure that its
services can be provided there so that the company is able to attain a strategic and competitive
edge over its wide range of competitors in the market.
Government Support Measures-
The Government is required to make sure that the adequate support is provided by it to
the Small Businesses so that they can sustain effectively and efficiently in the market. Thus, in
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this way it can be stated that the Government Support Measures are there for the Small
Businesses-
 Venture Capital- It is provided by the Government to the Businesses which helps in
ensuring that they are able to start their wide range of operations without facing problems
and issues. This can help the Businesses to be able to make appropriate progress in the
market. Therefore, this kind of support is required particularly by the Small Businesses so
that they can start their operations in the market and are able to make rapid progress
effectively and efficiently (Zhao and et.al., 2020).
 Providing land at concessional rates- Land is provided at concessional rates by the
Government to the Businesses so that they are able to easily set up their operations in a
proper way. Therefore, by providing land to the Businesses at concessional rates it can be
ensured that the different types of activities are managed which will thus help in attaining
the goals and objectives.
 Concessional Tax Rates- The Government also ensures that the wide range of
concessional tax rates are provided by it to the Small Businesses. Therefore, in this way it
can be stated that the Government provides this particular benefit to the Small Businesses
so that they are able to set up their own base of operations quite appropriately which will
therefore help them a lot. Thus it is an important support which is provided by the
Government to the Small Businesses so that they can make rapid growth and
development in the market.
 Loan at concessional interest rates- The Government provides loan to the SMEs at
concessional interest rates which can be quite helpful for them in managing their
activities and ensuring that they are able to appropriately earn profits. This can be quite
helpful for the SMEs to meet their funding needs and requirements quite appropriately
and therefore helps them a lot (Zos-Kior and et.al., 2020).
Therefore, an organization like Imaginera will be able to ensure that through making the
use of the benefits provided by Government Support Measures the enhancement in the progress
can be done. Therefore, in this way the attainment of the goals and objectives can be made which
will therefore help the company a lot and it will be able to make relevant progress in the future
which can help it a lot in a right way.
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CONCLUSION
The above report states that Managing Small and Medium Sized Enterprises means that
the resources should be used appropriately so that the use of these resources can be made highly
appropriately. Therefore, it becomes quite important that the management of the Businesses is
done appropriately which will therefore help in attaining the future goals and objectives
effectively and efficiently. Therefore, it can be said this will lead towards an increase in the
overall level of efficiency and effectiveness and will help the Businesses a lot. This will help the
Business so that they are able to make sure that they can target the attainment of sustainable
success in the future. They will be able to make sure that they make the appropriate progress in
the market in such a way which will channelize their growth in the future and will help them in
managing out their needs and requirements. Management of these enterprises requires taking a
right approach so that the appropriate use of these particular resources can be made in a proper
way. Thus, in this way it can be stated that the overall level of efficiency and effectiveness can
be increased through their proper management. Thus, it can be recommended to the managers of
the organization that they are able to identify the methods and techniques which can be used for
the purpose of managing the needs and requirements of these businesses. Therefore, in this way
the Businesses will make the required progress in the market.
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