Why does a young company want to grow? (Advantage of growing)
The higher the growth of a company the more positive is the company valuation
Economic contribution of young company´s growth
big contribution to technological change through innovation of new products
Creation of new markets
Securing and creation of jobs
What are quantitative measures of growth?
What are qualitative measures of growth?
What is the link bewteen quantitative and qualitative measures?
What are the different growth paths of a company?
When do thex typically occur?
What is the right type of measure in terms of the grwoth phases
What are the different models of the development of young companies?
Growth Model - Metamorphoses models
Effect of the changing corporate context on coordination mechanisms
Growth Model - Crisis Models by Albach
Series of development phases based on growth thresholds and growth crises
Growth Model - Crisis Models by Greiner
Growth Model - Structural change models
Changes in organizational structure and management systems in the company’s development
Growth Model - Behavioral change models
Phase related attitudes and behavior (esp. management style and innovative behavior)
Growth Model - Market development models
Development of the company as a cumulative life cycle of its products
What are the different growth levels of organizations?
What are the three design parameters that are relevant from a certain size of the company?
Relevant design parameter: Specialization
What are the Pros of a high and low spezialization?
Relevant design parameter: Delegation
What are the Pros of a high and low delegation?
What are the Pros of a decentralized and central delegation?
Relevant design parameter: Coordination
What are the Pros of self and s.o. else coordination?
The founder turns into an “Owner-Manager” with the task to steer the grwoth of his company
How do the management modes determine the development of the owner-managers`s areas of responsibility?
What are the four ways past customers drive growth?
Word of mouth
(Good customer recommendations)
As a side effect of product usage
(Some products drive awareness of themselves when they are used)
Through funded advertising
Through repeated purchase or use
What are the three drivers of growth?
Sticky engine of grwoth
-> attract customer and bind them for long terms
Viral engine of growth
-> growth is a spin-off of the customers product use
Paid engine of growth
-> new customers through direct investments
What are typical problem areas due to growth?
1. Missing delegation of decision-making authority to personnel
2. Lack of focus due to many management problems
3. Loss of entrepreneurial spirit
4. Funding problem due to lack of pre-financing plans
Last changed2 years ago
