Question

How are small businesses affected in this age of advertisement?

Answer 1

Hint: Traditional media such as newspapers, radio and television have propagated advertising to earn revenue and provide a platform for businesses to showcase their products in return. With the advent of the internet, advertising has become more accessible and helps reach a larger audience within very less time. However, it has led to making advertising extremely competitive and expensive.

Complete Step by Step answer: Advertising can be described as a promotion of ideas, goods or services in the form of informing and influencing the audience to purchase them. All businesses require advertising to make the audience aware of their product or service and convince them to make a purchase.
Small businesses are bound by financial restraints and thus cannot invest in advertising as much as larger businesses do. They cannot hire advertising agencies and marketing firms or even have a marketing department at the least due to lack of manpower. Moreover, the immense competition that they face from larger firms in the same industry makes it more difficult for them to succeed. For example, if a fast-food restaurant chain like McDonald's is pitted against a local burger joint, there is no way they can compete with a giant company like McDonald's. Most smaller localised businesses depend on their goodwill and the loyalty of their customers to bring in more business. However, in the age of modern advertisement, social media marketing proves as an accessible feature for smaller businesses as well. Whether it is Google’s paid ads or organically driving traffic to websites and social media pages, small businesses can look through a range of options to set up an effective advertising strategy without the help of agencies.

Note: Effective advertising helps create a brand image and has a psychological impact as well such as the audience associating a commonly used phrase, jingle or tagline with the brand.