The Rise and Role of Small Service Firms in the United Kingdom

Dr. David Keeble and Dr. Johan Bryson are lecturer and research associate respectvely in the deaprtment of geography and small business research Center, Cambrige University, England, and peter Wood is senior lecturer in the department of Geography, University of College, London. Since at leeast the early 1980s turnover, employment and the stock of firms in a range of inforatmion intensive business service in the United kingodm have all grown at an explosive rate. Yet the role of small firms in this remarkable growth of business service has received surprisingly little attention from acedmic research.The review is focussed on two key information intensive business service sectors, managment counsultancy and market research. The autors find that small firm prolifiration in these sector appears chiefly to reflect ‘pull’ not ‘push’ factors recession and redunacy have generated some ‘unwillingly’ enterpreneurship but only in a mionrity of business, in cotrast with manufacturing. They find that the ability of small firms to complete effectively with large firms reflects two key advatages. One is the professional expertise, reputation and network of personal contacts embodied in the founder and greter flexiblity in terms of widespread access to associates and complementary expertise and frequent networkingbetween small firms and individual professionals.