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Methods of growth GapFill
Target Level
C
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growth refers to a business which has grown with the help of another business. This could be through a merger, an acquisition or a takeover.
growth is a natural growth of the business without the help of any other companies. There are many ways that this kind of growth can occur:
- Through expansion, where the business has hired new staff to help it cope with increased demand
- Through innovation and new product - link here to Kay's distinctive capabilities
- By entering new ; for example, by starting to trade internationally in emerging markets
Benefits of organic growth:
- It is less than a merger or takeover
- The owner will retain and can monitor the speed of the growth so the business doesn't get too big too fast
- The business can maintain its existing and does not have to blend two together. A clash of cultures in mergers is often cited as a reason for business failure.