Revolution in Information Technology Means the “Little Guy” Can Now Compete with the “Big
Dogs”
Dr. Greg Ketchum, 03/18/06
A recent NY Times story highlighted a revolution that
represents a titanic shift in the business world. What revolution am I talking
about? Well, it’s now possible for the “little guy” in business
to compete with the “big guys & gals” due to the availability
and low cost of information technology like the web, email, search engines, and
web-based software programs. The Times calls this revolution the “democratization
of information technology.”
Formerly the adoption of new technology worked on a “trickle
down” basis meaning that big companies were the
only ones that could afford costly new IT. The “little
guys” had access to it only after the big guys
had reaped the benefits of having it first.
This technological revolution is having its largest
impact on small businesses, those companies with fewer
than 500 employees, which represent a huge market. To
see what I mean take a look at these figures.
Small businesses account for…
- Half the nation’s economic output
- 60 to 80 percent of all new jobs
Historically, large companies ignored the small business
market, focusing instead on the Fortune 500. However,
now even large companies like IBM are going after the
small business market by offering web-based software
services such as spam & virus scanning for email
for as little as $2 per employee per month.
If you’re thinking about starting your own business
there has never been a better time. You’re no longer
restricted by geography and you don’t need to put
out a lot of cash for expensive office space. The “virtual”
company with “affiliates” in widespread locations
linked together by the web is the new business model.
It’s also a good time to go after the booming
small business market as that segment now leads in spending
on information technology. Take a look at these figures.
Small & medium sized businesses…
- Represent half of all spending on hardware,
software and services in the US
- Their spending grew 35% faster than the
overall market last year.
Finally, here’s a million dollar tip for you.
Think about starting a business that caters to people
who want to start a small business. It’s a huge
market that will continue to grow with the boomer generation
retiring and moving on to pursue long held dreams like,
you got it, starting their own business.
For more information and a list of references go to
talentplanet.com and click on Dr. Greg. Have a great
morning.
References
®2006 Gregory A. Ketchum, Ph.D. All
rights reserved.
