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Hi Patrick, 
 
Not sure that I agree with you. I would argue that PPC represents the closest thing to a level playing field that there is in advertising. 
 
If a company with a limited budget finds that their budget runs out if they 'compete' with the big companies, then surely this means that they can cut their bids, and spend their budget at a lower cost per click. 
 
Assuming that they get the same conversion rate and margin (which may not be true, obviously) then they will inevitably get a better ROI than their larger brethren. 
 
Successful PPC (from a bidding perspective, at least) is about managing your account in a vacuum. You set the bids that are most profitable for you, balancing click volumes with cost per click, and bid to that level. 
 
If your budget runs out, then unless you have found higher conversion rates in higher positions, then you are missing your advert's sweet spot. 
 
The only time that a small company has a problem is in the early days of a new account, before the account has a good quality score. You need to generate a certain volume of traffic to 'prove yourself' to Google, and this can be expensive. 
 
But if your conversion rate is comparable with your competitors, and you make the same money from a sale, then you have as good a chance of making a profit as they do.

Hello Steve, 
 
I do agree with you that there is a place for PPC in Internet marketing. However there is an optimal split I think between SEO and PPC and this depends on your market or website. We use PPC ourselves for the keywords where we have no SEO presence or where we have an immediate requirement can not wait for SEO to kick in. What people have to be aware of is that they turn of the PPC then they turn off their traffic if they have no SEO presence in the natural search. Thank you for your feedback