High Level Overview of Growth Strategies
once we understood the difference between optimizing for value versus optimizing for growth, we can go even deeper and begin to chart a way forward for your business using four well established strategies. Market penetration market development. Product development and diversification, coupled with everything we've already done, these strategies can help you stay focused and allocate your resources in the best possible way. Let's dive in # one. Market Penetration. Market penetration is the means by which we intend to get people using our product. Uber did it with aggressive pricing, we we did it with flexible leases door box, did it with free storage # two Market Development. Once we have broken into a certain market, it could be our campus neighborhood or any other niche market development will help us replicate our achievement elsewhere. This is what facebook did after being founded in Harvard. The social network expanded into other campuses across the U. S. Before replicating that su...
ccess in becoming a tool in international company. Strategy number phase product development. If you already have users that are using your services, can you use what you know about them and the capabilities your organization already has in order to come up with more services that they might benefit from. If your clients are already using your translation services, maybe they should also consider using your happy and content creation. If you are already selling t shirts, would socks or bags be a good way forward? I know it sounds simple, but these two requires further research Strategy # four is diversification and this is by far the riskiest of them all diversification means you will expand into additional product clients and additional markets. The world is full of examples of companies that are successful and wealthy and well established companies that have attempted diversification and failed. When facebook wanted to start building hardware, they came up with something called facebook home, your house is home screen. The market was not ready for this and the initiative was quickly buried, but when it is successful, it can truly payoff. For example, amazon started as a bookstore, developed its market and grow into a huge online retailer. It then developed additional product clients with Amazon Prime video catering to the media and entertainment needs of their clients. But they also diversified massively, giving birth to amazon Web services. Now a multi billion dollar business. This tech heavy enterprise provides companies with their storage hosting and other infrastructure needs. When considering your strategy, you would want to balance the risk with the potential rewards. You would want to be able to diversify only if you can afford to lose, which makes the market penetration market development and product development. The likeliest strategies for you to begin with