Are You Ready For The Next Level In Business?

Is your business relatively successful, but static? Are you happy with your current profit margins?  Then beware!  Your competitors may be waiting in the wings, ready to snatch your customers and business away from you.  To stand still is to yell to your competitors to come and get you!  So how do you intend to grow your business and stay ahead of the field?

The size and structure of your business; whether you provide a service or product; its current success and profitability, (or indeed operating at a loss); your access to finance, etc. will all help determine your path for growth.  Add to these factors, your personality,drive and ambition, and business acumen and you will have a sense of the level of risk you are prepared to take.

Low risk level– selling more of the same to your existing market while continuing to secure your place in the market and remain ahead of the competition.  This is viewed by many strategists and entrepreneurs to be the easiest and safest way to grow your business. You might, for example, induce your customers to buy more products or services by offering discounts and loyalty bonuses.

High risk level– diversify by introducing new products and/or services to a new market.  Considered to be the most difficult of growth strategies, diversification will in all probability involve extensive research into a new market, with which you will have little or no experience.  You will require additional capital, time and resources, which could prove costly.

Varying risk levels – adopt a growth strategy offering varying degrees of risk between the two ends of the scale.  This could be modifying current products or services to sell to your already established loyal customer base. Or indeed, expanding your customer base geographically or relocation of your business to capture new markets.

Are you the type of entrepreneur that would rather take the low risk options to sustain steady growth?  Or, are you a risk taker, eager to capitalise on your current success and grasp new opportunities?  Whatever you do, don’t make rash judgements and assess each risk strategy carefully.

About Author

Lorraine Garvie

Principal Consultant of Business Reboot, Lorraine Garvie, has significant and comprehensive experience as a Business Consultant for small to medium sized businesses throughout Australia and the UK, Business Reboot is an Australian-based advisory firm specializing in strategic marketing and business development and focuses on growing long lasting and dynamic businesses. M: 411050888 E: lorraine@businessreboot.com.au