Internal growth is when a business sells more of its own products. This growth is slow but manageable
1 of 7
External growth
External growth is when a business joins with another business. The size of the business changes suddenly which means there may be problems managing staff and new procedures.
2 of 7
Selling franchises
When a business sells franchises it sells the right to use the name and product.
3 of 7
Merger
A merger is when two or more businesses join to make a new business. Any shareholders of each become shareholders in the new business.
4 of 7
Takeover
A takeover is when one business takes control over another.
5 of 7
Horizontal integration
Horizontal integration is when a business joins with a business that is at the same stage of the production process. (eg. two food factories)
6 of 7
Vertical integration
Vertical integration is when a business joins withanother business that is at a different stage of the production process.
7 of 7
Other cards in this set
Card 2
Front
External growth is when a business joins with another business. The size of the business changes suddenly which means there may be problems managing staff and new procedures.
Back
External growth
Card 3
Front
When a business sells franchises it sells the right to use the name and product.
Back
Card 4
Front
A merger is when two or more businesses join to make a new business. Any shareholders of each become shareholders in the new business.
Back
Card 5
Front
A takeover is when one business takes control over another.
Comments
Report
Report