Business Growth

Definition: The business growth phase is that period during which business functions (management, production, financing, marketing, and human relations) are fully staffed and operational.

Objective: The objective of the business growth phase is to operate a business enterprise which produces a profitable product for which there is increasing market demand.

Product: The product of this phase is a business enterprise that is perceived by the market as a preferred source for the product and/or service.

Business Activities: The business activities common to this phase are those necessary to establish a foundation of sound business practices, implement a growth strategy, and ensure profitability.

During the business growth step, the following activities must be completed:

• Obtain equipment and facilities

• Hire and train personnel

• Execute contracts

• Arrange for next stage financing

• Institutionalize management vision, mission, and policies

• Regularly convene board of director meetings

• Monitor industrial business trends and practices

• Identify opportunities and threats to enterprise profits

• Conduct strategic and tactical planning for the enterprise

Business Information: The business growth phase usually will result in knowledge of market receptivity to the enterprise, the price-value threshold of product, competitor response, emerging competition, and critical factors for enterprise operating success.

Assessment:

Are you engaged in full-scale production?
Have you arranged for full scale production financing?
Have you institutionalized a corporate vision, mission, and policy?
Do you have a process to monitor business trends and practice?
Can you identify opportunities and threats to enterprise profits?

Return to The Goldsmith Commercialization Model

The Arkansas Small Business Development Center is funded in part through a cooperative agreement with the U.S. Small Business Administration through a partnership with the University of Arkansas at Little Rock College of Business and other institutions of higher education. All opinions, conclusions or recommendations expressed are those of the author(s) and do not necessarily reflect the views of the SBA. It is the goal of UALR to eliminate discriminatory harassment and to promote equal opportunity regardless of race, gender, color, national origin, sexual orientation, age, religion, veteran’s status, or disability.