Yet another busy week for businesses around the world.  A piece in the Financial Mail on Sunday reports that ten percent of small businesses have said that they would target their competitors’ customers in order to secure business in the current economic situation according to a poll conducted by the Orange SMS Business Jury.  However, this may not be the most effective way to secure business volume as by focussing on solely focussing on attracting new customers, businesses run the risk of becoming complacent about the customers they already have.  The article suggests that a loyal customer base can be more beneficial for businesses than constant waves of one-off customers.  Another survey reported on in the Mail on Sunday discusses how the fear of recession is forcing SMEs to cut back on any corporate social responsibility activities that they have implemented.  However, whilst the number of firms implementing CSR initiative has fallen by half of last year’s figures, there is still consensus amongst small businesses that CSR is an important way to differentiate themselves from their competitors. 

Gordon Brown has agreed a deal over the weekend which takes a step in the right direction towards helping SMEs as they continue to feel the pinch.  The decision to release the European Investment Bank’s full €15bn fund to ease the lending freeze at banks would help small businesses whose funds are drying up.  The article in the Sunday Telegraph stresses the importance of Brown and his European counterparts acting quickly, as more small and medium sized businesses are trying to cope with the demands of credit.    

Other news

The Sunday Times (05/10/2008) – Follow the rules on redundancies

The Mail on Sunday (05/10/2008) – Do-good bosses in cash plea

The Observer (05/10/2008) - Barclays raises overdraft rates

Growing Business (01/10/2008) - Fuel hikes hit small firms