Small Business Management and Performance

In his study of 50 small mechanical and electrical engineering firms in the South Wessex region between 1979 and 1987, Alan Hankinson uncovers endemic survival problems of investment, pricing, output and marketing. Investment strategies were minimal, external finance was avoided and government aid had been largely ignored. The firm's pricing behaviour suggested that they failed to take up opportunities for improved performances, financial or otherwise, through more efficient pricing. Output problems were blamed on the economic climate, excess capacities were unacceptably high, and output techniques were simply not employed. Market research, advertising, product development and forecasting were below levels for effective operation and attainable results. The book is intended to provide a clearer appreciation of the real motivations behind investment, pricing, output and marketing decisions in the smaller firm. It is aimed chiefly at higher education students, lecturers and industrial managers.