Most of the big companies we know today were started as small organizations. Several leaders or executives fail to recognize the effective growth strategies that can lead the company to tremendous success. As a result, only two-thirds of small businesses thrive for the initial two years of startup, according to research. Survival in the market becomes difficult for the organization, not practicing an effective and productive growth strategy.
Several issues intimidate the organization and impede its growth. The problem might be cash flow issues, lack of funding, cyber attacks, lack of e-commerce websites, or inability to mitigate the risk resulting in unaccountable losses.
For example, you can consider Richard Warke, who dealt with troubling challenges to become a billionaire businessman of Vancouver. Being associated with numerous successful companies that include Augusta Group of Companies, Titan Mining Corp., and Solaris Resources, Richard Warke net worth of over $1 billion is an inspiration to many entrepreneurs.
The organization needs to deal with various complications while maintaining workflow, including economic uncertainty, government regulation, federal income taxes, cash flow management, regulatory burden. Organic business growth occurs at a slow pace. The organization obtains time to build its capabilities to support and facilitate expansion in the future.
Rapid business growth is only possible when the organization is successful in implementing efficacious growth strategies. Of course, it is very profitable, but risks are also associated with it. Following are the steps of growth strategies that are tackled by most of the organizations, which further lead them to an enormous increase in sales, gain in business value, and market expansion:-
- Support development level growth
The organization comes into the field with a business idea and plan. One needs to go through market research and collect feedback to identify whether the business idea will thrive in the market or not. People must have time and knowledge to assess industry best practices. They have to be actively involved in creating a digital marketing strategy framework.
- Support survival level growth
After developing goods and services, one can go for marketing. Successful entrepreneurs like Bill Gates suggest developing customer interest and keeping on adding new consumers. When they have enough customers, they can generate substantial revenue to bear operational expenses. Further, they can alter the business model for expansion.
- Support expansion level growth
Once they are clear with the belief that their business is prospering, they can lead the expansion. The business has to develop distribution channels and add new products and services for consistent lead generation. The plans must be defined accurately and briefly, which can dominate the market. The organization can step onto the maturity stage when the business becomes powerful and capable enough to remain an active player in the competition field.
Most of the business fails when they don’t go through market research. Lack of business growth ultimately results in revenue loss. According to a survey, around 42% of startups failed due to a lack of market research. Depending upon the market need, organizations must formulate business growth strategies to be implemented effectively. It may take a lot of time, patience, and effort to formulate a business strategy that can be proven groundbreaking.