There are many small profitable businesses that big companies don’t look down upon!

When many people come up with their own ideas and want to do this project, they are afraid that big companies will join in. But sometimes, many small profitable businesses are not favored by big companies.

Many people encounter a problem when they start a new project.

What I have considered myself, or what has been suggested by others, is what to do if a large company does it.

Many people are afraid of big companies entering the market because they think that big companies are strong, have brands, teams, funds, and channels, so when others do it, they may be squeezed out or even directly killed by others.

First of all, it is normal to have such concerns. At least it shows that you are risk-aware when doing things, rather than blindly.

But I want to tell you that for most companies’ businesses, small companies and small teams have opportunities to enter the market, and they even have advantages over large companies.

01 Many small businesses are not favored by big companies

For many people's businesses, sometimes there is no need to worry at all.

Even if you can earn 3 million, 5 million or even 10 million a year, many big companies will not join in.

Let’s take WeChat business photo albums as an example. They make at least tens of millions in profit a year, but if you look at Taobao, Tencent, JD.com, etc., you can’t see them at all.

For most giants, large companies and other enterprises, they not only have to consider the scale of the business, but also the long-term nature of the business.

02 Decision-making in large companies also takes time

When you are preparing to do something, or you are doing a certain business, you are worried that a big company will do it.

But you have to think about it, if a big company wants to do this, it will also take time to research, prepare, and defend.

It doesn’t mean that if you do it today, the product will be produced today.

You spend three to five months on it, and the big companies can't be lazy at all.

It is necessary to do argumentation, find talents, prepare materials, designs, and provide training, etc. All matters need to be prepared.

03 The investment of large companies is not unlimited

If a field is not the hot spot or trend of the entire industry, or is not enough to affect the entire market, large companies will not invest all their resources to do it.

Unless it is a market that affects the entire population, such as cloud computing, live streaming e-commerce, AI, offline new retail, mobile phones, automobiles, community group buying, etc.

Only large companies will directly hire hundreds of people to invest.

Under normal circumstances, if a large company wants to carry out a project, it has to go through various links including research, review, project establishment, R&D, and testing.

Sometimes a project is terminated internally shortly after it is started.

Even if some projects are completed, the team members, budget, and other aspects only require seven or eight people and a budget of one or two million.

So it doesn’t necessarily mean that the strength of a big company is stronger than yours!

An especially important point is that in large companies, resources must also be fought for.

On the contrary, you are not as flexible as you or a small team, or the team is more goal-oriented.

04 Large companies also need to do marketing

Even if large companies have completed their products and launched them online, they will still encounter the same problem, which is how to market them.

Don’t think that big companies have huge budgets and that their channels are ready-made.

In any field, channels need to be discussed slowly and customers need to be found slowly.

Let’s take Youzan and Weidian as examples. They both provide tools for opening stores, and they already have their own mature customers.

You see, two or three years ago, WeChat also launched its own store opening tool - Small Shop.

But if there weren’t some mandatory requirements for the video account, who would still remember to have a small shop to open a store?

Even now, the functions and market of small shops are far behind Youzan and Weidian.

If a large company does not use the full strength of the company to promote a product, the end result may be worse than the performance of a small brand or a small team.

For example, let’s take a look at the many social e-commerce mini-programs that Tencent has created, such as Xiaoe Pinpin, all of which have failed without exception.

05 Large companies cannot meet the needs of all customers

A big ship is difficult to turn around, while a small ship is more flexible.

Countless facts have proved that large companies cannot meet the needs of all customers when making products.

Especially for some so-called niche customers, even if their needs can be met, it will take half a year or a year to meet their needs.

Some demands have become customized and paid demands.

Large companies are more willing to serve the leading companies with stronger paying capabilities, and this leaves a lot of room for development.

In addition, large companies sometimes know how to build an ecosystem rather than doing it themselves.

For example, WeChat has developed mini-programs. As for what kind of mini-programs to develop, there are tens of thousands of companies providing services.

Similarly, Youzan and Weidian are considered to be the leaders in the industry in terms of store opening tools, but there are still countless small companies that provide store opening tools, covering various fields.

From the perspectives of price, function, service, scenarios, etc., there are differences between them and those provided by large manufacturers.

06 The market is what you should care about

Rather than worrying about whether big companies will do the business, entrepreneurs should actually think more about how to gain market share.

Whether it is at the beginning or in the middle and late stages, when facing more competitors.

Many entrepreneurs have good ideas when they start a business, and they can find products and technologies with good backgrounds, but they never think positively and further about how to conquer the market.

Thinking about market issues too simply underestimates the market investment, difficulty, personnel, time, demand and other aspects.

I thought someone would use this thing, and as soon as I put it up for sale, it would be sold out immediately.

Most companies do not die under the suppression of giants and peers, but die because they do not know how to do things and do not have a market.

They just focus on making products but don't think about how to make breakthroughs in the market, and end up watching others succeed.

So entrepreneurs, when you are starting a new project, don’t worry too much about what the giants will do.

What is most important is to think about the advantages of your product and how you market it.

Author: Shili Village

Source: WeChat public account: "Shili Village (ID: shilipxl)"