Why might a small business do better than a large business in a difficult economy

Answer and explanation:

Small businesses particularly have limited operation areas. It implies the costs are low and the company's operation process is simple. On the other hand, large businesses work within a wide network of branches to handle their operations. Costs are higher and hand labor is requested in big amounts. In front of difficult economic periods, small business operations do not change much and have almost the same impact on the overall economy than in regular times. Though, the same does not happen with large firms. Massive layoffs and the change of prices might contribute to a nation's economy to worsen.

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