1.6 business growth

  • Created by: hanfa
  • Created on: 14-04-21 19:40
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  • 1.6
    • organic growth
      • increasing output: using resources more efficiently, using up spare capacity, increasing capacity of  business like opening more stores
      • gaining new customers: reducing its prices, opening new shops in new areas, better marketing
      • increasing market share: increasing its own sales, taking business from other firms
      • developing new products: researching and developing, copying ideas of other businesses, buying ideas from other businesses
    • external growth:
      • horizontal growth: the producer it at the same stage
      • forward vertical growth: the producer is at a later stage in production
      • backwards vertical growth: the producer is at an earlier stage in production
      • diversification: the producer is an unconnected line of business
      • takeover: where a business takes a controlling interest in another business for example buying more than 50% shares of the business
      • merger: when two or more businesses agree to become one business


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