Organizations go through four (4) growth phases before they finally establish as sound business outfits.  There are business rules that are very important when it comes to monitoring and managing growth transitions that have to be in line with the growth strategies to help realize business prosperity.  Here are growth phases that entrepreneurs have to be cognizant of:

1. Start-up

This is basically the stage where the business idea and plan are put in place and the organization has launched.   This stage involves identifying and refining the business models e.g. B2B, B2C, C2B, C2C while focusing on the main agenda of staying afloat in the long-run.  These are some of the considerations: –

1. Identifying a gap, and developing a viable product to help bridge it or solve the problem
2. Defining a marketing plan with objectives, budget, and possible risks
3. Ensuring that there are resources e.g. financial, and human, etc. to cater to the rising business demands as it establishes
4. Possibility of outsourcing when there is a need to fill the gaps that might exist
5. Setting futuristic business goals for development and growth

 

2. Survival

Once a business acquires its relevancy in the space and customer base, the next phase that needs concentration is promoting its product and ensuring that they remain viable and competitive.  To survive, well-formulated strategies should be put in place like:-

1. Market Penetration through 4P’s and 4C’s
2. Market Development by expansion into new markets and growing customer base and being customer-centric through 4C’s Marketing matrix
3. Building formidable Revenue Streams, Competitive advantages and strengthening value propositions to help grow and position itself for rounds of funding for expansion

 

3. Scaling

Scaling is generally an expansion phase in matters of product and market development and strategical implementations.  This is where market development takes a center stage with a focus on growth and expansion.  Some considerations in this phase are:-

1. Optimizing the business marketing strategies to increase conversion rates
2. Business aggression through ambitious expansion with a competent team
3. Giving human resource direction to pull together for spectacular growth
4. Considering investors to help pump money for growth and expansion

 

4. Establishment

At this stage, the business has already acquired a large market size and is fully developed in such a manner that growth is notable.  The business should now focus on retaining existing customers and also continuously acquire new customers through diversification to maximize its potential and generate revenue.  Some of the retention strategies are being customer-centric, loyalty, and reward programs which enhances sales. Successful companies have Growth Strategies laid out and executed.  When the executions of every phase of growth are carried out meticulously, there would be a definite acquisition of market share hence Return on Investment (ROI)