Business Growth Write For Us – Every business pursues in some way or another business growth over time and expansion to advance its financial, economic, and recognition state in a market that becomes more viable every day.
This growth is habituated by many factors or elements that together achieve this objective.
There is no magic formulation to achieve the growth of your business. The situation does not matter if you own a large or small company, the dedication, desire, and commitment to meet this goal can help you achieve it.
You may often think that it is a challenge that is too far to attain and that your business is not in the finest state to do it, but it is not!
Read on to learn everything about business progress and how diminutive by little it can help you fulfill the dream of increasing your business.
Business Growth Definition
Business growth is a company’s progress in terms of economic benefits, number of customers, number of employees, infrastructure, technology, brand consolidation, and production of goods and services.
When an organization meets a need in the market and achieves reasonable customer satisfaction, it is performing one of the most essential principles to maintain and achieve business growth.
Business growth benefits
- Increase in economic income: The most notable characteristic when experiencing business growth is the increase in monetary gain, which offers various advantages, such as hiring more staff, expanding infrastructure, and improving equipment, technologies, and other tools.
- Process optimization: When a company grows, correcting and eliminating possible failures and irregularities is necessary to make the processes more effective and efficient, reducing production times and saving money.
- Improvement of logistics: Various aspects of logistics within the company improve, such as transportation, storage system, product organization, quality control, and merchandise distribution.
- Talent attraction: The company’s interest in talented people increases, so attracting trained personnel to work within the organization is less complicated.
- Brand positioning: Consolidating the brand image in the minds of consumers becomes more significant.
- Job creation: The need for more employees increases to fill the new vacancies that arise as the company grows.
Types of business growth
- Organic growth: It is the growth that a company experiences through the use of its own resources.
- Strategic growth: Refers to the design of new strategies that propose long-term business growth.`
- Growth by merger: It consists of the union of two or more companies to combine assets and form a new company.
- Acquisition growth: It is when a company acquires another smaller company to become the owner of all or part of it.
- Internal growth refers to a company’s investment in its organization to promote development and increase its production capacity.
Stages of business growth
Below are the 5 stages of business growth that Neil Churchill and Virginia Lewis proposed in the Harvard Business Review magazine, whose publication date is from 1983.
Stage 1: Existence of the company
It defines the most basic strategy for the company to thrive in the market. In this first point, the organization must attract customers and offer products to satisfy some demand.
Stage 2: Business Survival
If the company passes the first stage, it has a viable product, which means it already has active clients and a production process to cover said demand.
The fundamental key is to grow in size and profitability to continue materializing its business expansion, in which case it would go to stage 3.
Stage 3: Business success
Business success comes at this stage when real consolidation is achieved in the market. However, at this point, the organization owner must decide whether to use the achievements to continue expanding or to keep the company stable.
Stage 4: Organizational takeoff
In case of continuing to invest, the next step is considered: business takeoff.
The main problem is knowing how to proliferate and finance this growth.
Stage 5: Resource Maturity
Finally, if there is a successful business takeoff, business maturity consists of controlling profits and eliminating failures during rapid business growth. At this stage, the presence of trained professionals, optimized production processes, appropriate technologies, and more complex systems is evident.
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