Competitive conditions, competitive advantage and the location of SMEs
Journal of Small Business and Enterprise Development
ISSN: 1462-6004
Article publication date: 1 March 2002
Abstract
This paper uses a large‐scale survey of SMEs (1,531 respondents) in the UK to assess the factors associated with their competitive conditions and their competitive advantage. Results appear to confirm that, as SME businesses grow, they develop their strategy to seek specialisation and differentiation of their products and services and diversification of their customer base. However, the paper suggests caution about any government policies based on local intervention. It suggests that policy assisted areas have no association with different local competitive conditions or advantage/disadvantage. Instead, the paper suggests that firms increasingly obtain competitive advantage from developing trading relationships with other regions or countries beyond their own locality. Consequently policy assistance should be tailored closely to the needs of the SME rather than the locality.
Keywords
Citation
Bennett, R.J. and Smith, C. (2002), "Competitive conditions, competitive advantage and the location of SMEs", Journal of Small Business and Enterprise Development, Vol. 9 No. 1, pp. 73-86. https://doi.org/10.1108/14626000210419509
Publisher
:MCB UP Ltd
Copyright © 2002, MCB UP Limited