Managing and Running Small Business

This document discusses the main considerations and benefits of managing and running a small business, with a focus on transactional sales and customer satisfaction. It explores the importance of maximizing sales and customer satisfaction, the utilization of planning resources, effective communication channels, and the development of customer relationships. The document also highlights the challenges and drawbacks of transactional sales and the potential for expanding business transnationally.

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Managing and Running Small Business

Transactional Sales: The main objective of the establishment of
company is to maximize the sales of selling the products and increase
the profit of the company. Company want the maximize the sales in
less time. Company gives the best quality products and tries to fulfill
the needs of the customers and making rapid sales by maximizing
numbers of target audiences.
The benefits of transactional sales in AKS IT Services are as
explained
Independence: A business is utilizes transactional sales in
reference to operate business independently without any interference
(Steingold and Steingold, 2019). So productivity and margin can be
increase appropriately. Company can increase the quality of the
products and give the better facilities of the employees. So company
can take the effectively and determine the right business decision. The
administration of AKS IT Services are developing their customers by
selling their IT and facilities to target audiences so they feel better and
maximize the foreign investments.
Lifestyle: It is very important the modifications in lifestyle of
individual who are offering several lifestyle which enable in making
the accurate business determinations (Tidd and Bessant, 2018).
Company using transactional sales AKS IT Services can be maximize
and maintain the good profits. Company can offers a assistance to
consumers towards lifestyle and deliver them effective quality of
Brand recognition: When the company sales the maximum profits then brand
image managed appropriately. So company can enable the maximizing the
business execution by maintaining high profits. AKS IT Services offering the
better quality of facilities that assist to managing the brand image by delivering
services.
Increase in revenues: Company sale their products in other countries and
expand their business and fulfill the needs of the consumers. So company can
manage the high profitability by operating business in effective manner. The
company can make the foreign investment and maximizing profits margin.
Drawbacks are transactional sales are as defined:
Financial Risk: When the company expands their business company can
face the many problems it can be financial risk, threat of the competitors. The
threat of fiscal loss means the company not confident about investments to get
successes that maximize risk is there. On the other hand business can experience
the financial risk when they have poor management or flawed financial
reasoning.
Lengthy process: Globalization of transactional sales are long term activity
which can generate issues for company to operate business and gaining profits.
Company can take the permissions from international authorities where business
is set up (Park, 2018). It not very easy process to take the permission and arrange
the assets to set the company it is the major drawback of AKS IT Services.
Increase in revenues– Transactional sales are those which are utilises by
firm by keep business and expanding in other nations. AKS IT Service company
is managing high profitability by operating business and utilising transactional
sales. It also assists to make the foreign investment and maximising profit
margins.
ASK IT services is having good infrastructure in line with their
business requirement helping them for efficient customer engagement.
In addition to the business premises right set of equipment for IT
business is critical i.e. network infrastructure, hardware equipment.
Scarcity of right set of equipment will hamper the business adversely.
People and skills–Once the right set of infrastructure is created then
next step is to choose right set of human resources with proper set of
skills (Berry and Berry, 2018). As the major responsibilities are on the
individual promoter only, it becomes more critical for the small
business to have limited people with right set of skills to do
multitasking.
A business plan–Once all resources are in place it is important to
align them with the set organization goals. The administrative of AKS
IT services has proper mission and vision for the company in the place
which helps directing the resources in right manner to achieve
maximum productivity.
Explain different process of customer relationship management
for small or social enterprise
Customer relationship management–Customer is the centre for
any business be it small or large. For small business customer
servicing is more important due to the small size of business. The
promoter of AKS IT services are playing the key role to identify the
new clients, understanding their needs and fulfilling them.
ACTIVITY 1
Demonstrate the main considerations of small enterprise
which needs to address in planning while allocating resources to
achieve business objectives
Small Business –Small business is defined as a privately owned
entity with limited resources as compared to corporate. Business
volume is limited with limited employees and resources. Small
businesses are mainly privately owned firms which are operated by
individuals. Individuals are taking all risk and initiatives to achieve all
targets set for the business growth.
Planning Resources –Resources planning is critical for the small
businesses as the resources are very limited in nature. So optimum
utilization of resources is very critical for the business. Hence it is
essential for the business to make policies and plan of action to achieve
the maximum output from the available resources. It includes
recruitment of right human resources, planning for resources to get
optimized results (Pakroo, 2018). AKS IT Services is using various
planning tools and techniques to optimize the productivity of resources.
Various types of planning resources are utilized by small businesses
explained hereunder:
Premises and equipment–Business location for a business is one of
the most critical aspect. It helps greatly at initial stage of the business
for new customer find the business location.
Assessment of customer value–Once the services are rendered to the
customer it is important to take the customer feedback to ascertain the
customer satisfaction level. Higher level of the customer satisfaction
leads to repetitive business as well as new clients to the business. It is a
logistic and systematic action and process that are run by
administration in reference to maximise the business productiveness.
Several kinds of planning assets are utilises by establishments like
manageable, semi-controllable that are administrated by administrators
which assists to maintain the effective execution (Pham, Driml and
Walters, 2018). AKS IT Service is making usages of planning tools
and techniques by determining aims and objectives that are crucial
which maintain the productivity.
Developing effective channel for customer communication–
Communication is an important process which is running business
concern that helps to operate the business. It is essential business
organisation to have customer communication which can increase
business involvement. Customer are main assets for respective firm
who manage effective relation with customers by using IVR mobile,
new papers, direct selling and web self services which elps to attracts
clients and increase profitability.
E-mail and digital marketing keep strong relationship– It stages
is connected to customer relation personally and usages diverse tools
and origins to make effective communicate.
In London, numerous channels and resources that uses to
administrate better relationships with customers (Kgoroeadira,
Burke and van Stel, 2019). The manger of AKS IT Services id
providing different types of origins E-mail and digital marketing like
e-mails and print media to make development in business
performance and maintain profitability.
Network development– It is another practice which is utilises to
improve network enlargement by developing efficient relations with
target audiences that helps in enlarge the business performance.
Respective business venture is using different networking sites
which help in building appropriate relations with clients (Tidd and
Bessant, 2018). It enable in administrating the development of their
business by increasing profitability. The managers of such
organisation are developing good relations with dealers, investors,
target audiences and many more that helps to improve
manufacturing.
Thus, CRM is an act through respective firm can helps to
increase the business performance (Park, 2018). Small business is
having effective relations and network that enlarges business
profitability ratio.
Explain how a business can develop transnationally and determine benefits
and drawbacks
Internationalization: The meaning of internationalization is sales of
commodities and services provides in all over the world. In other
words company sell their products and services in international