Business growth Flashcards
(10 cards)
What is organic growth in a business
Internal growth through gaining customers
How can businesses increase output
By using technology or training workers for efficiency
What is the process of developing new products called
Product development
What are ways to increase market share effectively
Through promotion improved products or competitive pricing
What is external growth
Growth achieved through mergers and takeovers
What is horizontal takeover
Merging with a company in the same field of business
What is backward vertical takeover
Merging with a supplier to control the supply chain
What does forward vertical takeover mean
Merging with a company that sells your products
What does diversification mean in business
Expanding into new products or markets for growth
What is the purpose of diversification
To minimise risk by entering new markets or sectors
