Business Growth Part 3: How to Grow – Routes and Recommendations

Abstract

The importance of reviewing the opportunities for, and the barriers to, growth are examined. Ways of measuring growth are discussed, and five routes to business growth are outlined – market development, product and service innovation, investment in “capability”, business organisation and control, and acquisition, considering the aims, advantages, disadvantages and tools needed for each. The principles of drift and discontinuity are described in relation to fast growth, and three examples of fast‐growth companies are considered. Some detailed recommendations for chief executives who wish to lead their companies towards growth are provided, including: understand the business environment; develop the business for growth; and develop a management style to match. A summary of the findings of the research is reported, recapping the four management systems, the five growth rules and the eight characteristics of fast‐growth companies. It is suggested that the way to sustain growth and avoid problems, is to develop service brands, which will be the growth area of the 1990s.

Citation

Page, A.S. and Jones, R.C. (1990), "Business Growth Part 3: How to Grow – Routes and Recommendations", Management Decision, Vol. 28 No. 4. https://doi.org/10.1108/00251749010141311