Prototypically small: an exploration of consumers’ small business prototypes

Purpose

As consumers interact with various small businesses, they develop a mental image, called a prototype, to represent what small businesses are as a generalized, conceptual category. However, prior research has said little about what this small business prototype entails. Thus, the aim of this study is to explore consumers’ perceptions of the prototypical small business by identifying common attributes among small businesses that differentiate them from large businesses.

Design/methodology/approach

This study undertakes a thorough review of the relevant consumer research literature for the attributes that consumers use to evaluate small businesses. Then, using a contemporary parallel analysis approach, it conducts an exploratory factor analysis (EFA) on a sample of 266 university students who were asked to evaluate how common those attributes are of small businesses. A second comparative EFA for large businesses is also conducted.

Findings

The EFA reveals two dimensions on which consumers evaluate small businesses: a sincere–authentic dimension and a disruptive–innovative dimension. Specifically, consumers view the prototypical small business to be relatively high on sincere–authentic and moderate on disruptive–innovative dimensions.

Originality/value

Through a comprehensive literature review and exploratory analysis, this study provides a novel understanding of consumers’ conceptualizations of small businesses. In studying the mental image consumers associate with the prototypical small business, this research fills a significant gap in the existing literature and provides important insights for practitioners and researchers alike.