This week's episode of The SME Growth Podcast centres on whether SME managers take enough risks. Dave and Rich from Wellmeadow explore the importance of risk-taking for growth, contrasting how small and medium-sized enterprises (SMEs) often lean towards caution compared to larger companies or startups. They discuss cultural factors, particularly in the UK, that contribute to this risk aversion, noting that failure is often stigmatised, unlike in environments like Silicon Valley where failure is seen as a learning opportunity.The conversation touches on how decisions at the managerial level in SMEs tend to follow the same patterns, even when the results are poor. Dave and Rich suggest that managers should take calculated risks, test new strategies, and explore different markets or approaches instead of sticking to the status quo. They highlight that successful businesses often balance potential rewards against risks, using frameworks for strategic decisions.The overarching theme is that SME managers tend to avoid risks, and this risk-averse behaviour can hinder growth and innovation. They argue for more openness to risk-taking, supported by strategic planning, to better navigate challenges and seize opportunities.

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“What did the council decide on item 42?” — answered with the speaker and the moment.

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