Company expansion is necessary in order for it to grow and expand its business. Many companies, especially small and medium enterprises or SME companies failed on this as they deem expansion as an expensive business investment where success is undetermined and failure is highly likely.
Obstacles to Expansion for SME Enterprises
Perhaps the greatest obstacle for SME companies 觀塘共享空間 is store or office site. Choosing the perfect site is incremental to the success of the company as it provides the latter with visibility and established the credibility of the brand. Rental spaces in business districts are prohibitive especially for companies that lack or have limited capital. As prime location often serve as gateways to consumer consumption, many office rental management exploit this resulting to exorbitant rental prices.
Another obstacle that companies have to face is the high exit barrier. Some markets have low entry so companies can readily invest in the industry. However, due to the high exit barrier, companies may find it difficult to liquidate assets when the business venture fails.
Suited Offices – Answer to Expansionism
In order to be able to scout the market without having to invest heavily, one option that SME companies can opt for are suited offices. Suited offices are just like rental offices with one difference, it is fully furnished so the company no longer have to worry about investing on office equipment and liquidation later on.
Unlike traditional rental space where you have to setup utility bills and have an IT or technician under your payroll, suited office management offer a support staff that will oversee the company’s technical and maintenance needs. This is critical for companies as it is difficult to hire someone who knows how the locals work and too expensive to maintain at the same time. Having an IT support is critical for the company to focus on what is important and that is promoting and establishing their core business.