by Krycek Fink

Created on: November 21, 2009

Small businesses are given the opportunity to succeed by its birth right, American Capitalism. .Making something out of nothing in this economic atmosphere is tough for anybody. There are factors such as capital that can kill a business. This is out of the entrepreneur's hand, but there are also factors that the entrepreneur has control of. Creativity and useful media can never be taken away by tough economic times.They are put in the position to fail because of expenses for production and exposure Accomplishing both is a matter of matching the type of business, your market strategy and audience.

When a small business decides to advertise they should ask themselves if their product wold sell better if targeted straight to consumers or to other businesses. For most businesses that sell products the public wants, they're typically established businesses. Established businesses use the advertising agencies to make the ad, which is then sent to the media for placement. The media sends the agency a bill who in turn send the bill to the business. The business pays the media minus its commission for the ad agency. Small companies do and usually out of necessity seek the help of local newspapers because of inexpensive production costs. Asking an ad agency to produce television or other multimedia spots is more expensive than a layout in a local newspaper. Ink, paper, printing machines, costs less than cameras, editing software, lights, microphones and air time. For a starter business,bringing in an ad agency might be worth the 15% commission. Its not hefty percentage loss and a return in your investment is more than likely to double if the agency is does stellar work.

Big successful businesses solely advertise to other businesses such as trade advertising. Through this type of advertising, businesses allow retailers to sell their product to a more specialized public. This allows a place such as Wal Mart to make the sell to the public. This strategy hinges on whether the businesses product can prove profitability and if the retailer deems a product worthy to sell in their store. There are also professionals such as doctors, lawyers and athletes that help advertise products that these professionals use. A billion business could afford to use agencies, trade and professional advertisers. Nike incorporates all three methods of advertising. They hire agencies to make the commercials. They use Footlocker to advertise their shoes and they use Michael Jordan, Derek Jeter, etc. to push merchandise.

For now, a small business shouldn't even look that far into trade and professional advertising strategies. These strategies are never used until you're already successful. Starter businesses have to rely on their product and the assistance of an ad agency. When looking at this from the agency point of view, an ad for a newspaper is the real proving ground for creativity. If an agency can convince a general public to spend money on an item they may not necessarily need and from an obscure local newspaper, then they will always have a place in the hearts of the small business.

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