Popular Areas of Small Business Enterprise

Small businesses are more common in some industries than in others. The major small business industry groups are services, construction, finance and insurance, wholesaling, transportation, and manufacturing. Each industry differs in its needs for employees, money, materials, and machines. The general rule, more resources required, the harder it is to start a business and the less likely an industry is dominated by small firms.

Services. Small business services range from marriage counseling to computer software, from management consulting to professional dog walking. The most popular is retailer, sells products made by other firms directly to consumers. Usually, people who start small retail businesses favor specialty shops that let them focus limited resources on narrow market segments.

Finance and Insurance. Most of these businesses are affiliates or agents for larger national firms.

Wholesaling. Wholesaler buy product from manufacturers or other producers and sell them to retailers. They usually purchase goods in bulk and store them in quantities at locations convenient for retailers.

Transportation and Manufacturing. Most of these businesses include taxi and limousine companies, charter airplane services, and tour operators.