Small business are in great need to make their operations successful. The high rate of small business failures make the need more urgent. Strategic planning provides the answer. In strategic planning, the major objectives of the organizations are determined and strategies are formulated.
Strategic planning and strategy implementation and control are the major components of strategic management. Strategic planning consists of assessment for organizational strengths, weaknesses, opportunities, and threats, formulation of organizational mission, formulation of organizational philosophy and policies, determination of strategic objectives and determination of organizational strategy.
Small business falls under any of the strategic situations: when entering a new business, when the business is already in operation for sometime, and competing with big companies.