For a business to be successful in the early growth stage of the organizational life cycle, the two important things that must happen are ________.
A) the founder or owner of the business must start transitioning from his or her role as the hands-on supervisor to a more managerial role, and increased formalization must take place
B) a decision must be made whether the owner-manager and the current management team is capable of taking the business further, and the organization must start laying the groundwork for future growth
C) increased formalization must take place, and the business must achieve price stability
D) a decision must be made whether the owner-manager or the current management team is capable of taking the business further, and business partnerships must be established
E) the founder or owner of the business must start transitioning from his or her role as the hands-on supervisor to a more managerial role, and the business must be cash flow positive

Question

Quizplus · Accepted Answer

The founder transitioning to a managerial role and increased formalization are crucial for handling the complexities of a growing business.

For a Business to Be Successful in the Early Growth