growth strategy

Small businesses are the backbone of national economy and play a leading role in innovations as well as in creating jobs. Small business has the intrinsic needs to growth. Obvious contributions of the growth of small businesses include the increased return on investment and job creation. The interesting and valuable question is how small business grows and are all small businesses growing? It is no surprise that the growth of business is a core topic both in organization theory and entrepreneurship, both are interested in the process and causes of business growth. Stages of growth models, which assume that business go through some distinct stages from birth to maturity, have been the most popular theoretical approach in academic to understand small business growth. Although the stages model of growth has been criticized for being too sequential and linear which is unrealistic and inconsistent with empirical evidence (e.g. Phelps et al., 2007; Levie and Lichtenstein 2010), various new stages models of business growth have been developed since the 1960s.

In the article Mintzberg (1984, pp. 66) argues that companies are incorrectly planning strategy through rationale control, the analysis of competitors and markets, and of companies strengths and weaknesses, and combining all of this information to create their “full-blown strategies”. Inkpen & Choudhury (1995) believed that organisations that relied on strict set routines and focused on consistency would then be unable to become innovative and be able to experiment.

Numerous large businesses that are operating today were once started as small businesses. A new business is established to create a good or service that no other businesses have ever created or simply a product of higher quality than existing products, with the purpose of meeting customers’ needs and earning profits. Due to the technological advances at the present time, starting and operating a new business is less laborious. Nevertheless, would-be entrepreneurs should be familiar with the proper approaches to start their businesses.

The various typologies associated with the strategic management model are being highlighted by Andrews et al (2009). One of which is the Miles and Snow's Typology. Developed from the studies of business strategies by Raymond Miles and Charles Snow, this typology posits that managers attempts at business strategy is aligning that strategy to the prevailing conditions of the external environment. Another premise of this typology is surrounding the four basic types of classification - defenders, prospector, analyzers and reactors.

The Case Study concerning MacFarlane solutions is an interesting one to note down regarding strategic planning in an organization. From the information given, it appears that the small business expanded merely due to the insight of Bill MacFarlane and the planning that he gave forward. (McDonald 2011 pg. 736) Bill started off after working in a firm and having an experience of more than forty years. He specialized in what he knew and then gave forward what he was good out. There was risk in his ventures as the expert started out, however he trusted his instincts and went out with the planning.

Small businesses are mighty minnows, reflecting the competitive spirit that a market economy needs for efficiency; they provide an outlet for entrepreneurial talents, a wider range of consumer goods and services, a check to monopoly inefficiency a source of innovation, and a seedbed for new industries; they allow an economy to be more adaptable to structural change through continuous initiatives embodying new technologies, skills, processes, or products (Ibielski 1997, p. 1).

An organisation’s strategy plays an important role of providing direction of where company wants to be and how best to allocate the company’s resources to meet its objectives. The formulation of business strategies has evolved over the years and has been made more difficult in recent by the uncertain operating environments and global financial crises.

Conclusion: This paper is intended to give clarity on the depths of small businesses, how they plan to succeed and get through possible adversity. The surviving mechanism it takes to maintain in a world where large businesses are expected to exist longer than small business.

The ‘’Successful Strategic Management Growth-Oriented Timber Haulage Entrepreneurs’’ describes what kind of strategic management develop to achieve growth profitability. Also, this research emphasizes the importance of strategic management. Strategic management involves the implementation of setting objectives, policies and goals. The most important factor to achieve a successful growth and sustainability is taken by the executive manager and owners. Executive managers has the commitment to reach and pursue the firms’ objectives to create profit. Also, the executive manager have the highest level in the company, but also the highest responsibilities of managing the company day-to-day. The owners and executive managers design and develop

Strategy can be defined as being different from one’s competitors, finding the race to operate and accomplished it. According to Michael Porter (1996), while becoming better at what you do is desirable, it will not benefit you in the long run because it is something other competitors can also do. Strategies for organizations are originally developed by Michael E. Porter in 1979 by introducing the five forces model. A company can identify the industry profitability and attractiveness by analyzing the five forces of Porter (Johnson et al., 2008). And then a reasonable strategy can be set up in line with the strengths and the weakness of an organization is able to create a plan for a stronger position for the organization within its

There are serval strategic options that can help business to grow. Firms choose the most suitable growth strategy based on the consumers, market situation and expansion objectives. The trend of globalization and internationalization drives the need to increase competitiveness by decreasing cost of production. Internationalization is a commonly adopted strategy for firms nowadays to expand their businesses and acquire more sales all over the world. It is defined as ‘developing networks of business relationships in other countries through extension, penetration and integration’ (Johanson & Mattsson, 1988). Firms usually use Ansoff’s Product/Market matrix to create a strategic planning tool that provides a framework to help entrepreneurs or

Small businesses face a number of problems and challenges on a daily basis, both in the local and international markets. In the UK, Small businesses face a myriad challenges and issues on a day-to-day basis. The internal and external problems are countless. Some of these issues include high cost of insurance, financial problems, high taxes, competition, transport issues, employee skills gaps, and health & safety issues among others. Competition is increasing at an alarming rate due to advancements in technology. Therefore, this paper attempts to examine the challenges and problems that SMEs in the UK face. Even though small businesses in the UK face competition challenges, they can employ Porter’s five forces of competitive strategy to help them stay ahead of competition.

In order for a strategy to become effective it is required that the strategy matches the organization. The importance of matching organizations design and structure to the particular needs of strategy was first brought forward to the forefront in a landmark study of 70 large corporations conducted by Professor Alfred Chandler . His research revealed that changes in an organization 's strategy bring about new organizational problems which, in turn, require a new or refashioned structure for the new strategy to be successfully implemented. He found that structure tends to follow the growth strategy of the firm – but often not until inefficiency and internal operating problems

This study is an investigation of the strategic growth of a small company (Ravi Rice) based in the city of Jhang, Pakistan. Since the business was established, it has found difficulty in gaining more customers and it is localized in its certain area. This was a big problem for the company affecting its sales and growth overtime, management had to overcome this hurdle, because the company would not be able to survive with its current customers, despite having a large production but limited market share.

This essay will look at strategic management processes and how they can be used to improve organisational performance; it will also describe