1 Discuss the three generic sources of a companys growth the
Solution
The generic sources of a company\'s growth are as follows :-
1. Portfolio Momentum :- It is a growth in the Revenue of the company that means sales growth which can be achieved by the growth in the market share in various segments that are in the portfolio of company means target area.
2. Market Share Performance :- Market Share Performance is also said as organic Growth. Market Share Performance includes the increasing or decreasing , we say gaining or loosing value of share in the market.
3. Merger and Acquisitions :- Merger and Acquisitions is a concept in which company can acquire another company or merged in other company. This is a inorganic growth as company can grow due to merger and acquisition not by the performance.
Mostly the main reason of the growth of the company is only two from the above three and that is the portfolio momentum and the second one is the Merger and acquisition. Because the third point of Market Share performance ia based on the demand and supply conditions also.
This means for a company strategy that to develop a new innovative product time to time and making innovation in the other products and always try to capture and also a competitive advantages in the firm for the market or for competition rivalry and another strategy is that to attract and persuade more and more customers to buy our product.
