Describe how a strategy of growth through internal expansion works.

Question

Quizplus · Accepted Answer

The Answer is

\bullet

The organization expends its own time, money, imagination, and initiative, relying on all its functional areas (finance, operations, human resources, marketing), to essentially build new business on the periphery of its existing business. It goes beyond existing market segments to enter new market segments. It goes beyond existing product/service lines to offer new product/service lines. It goes beyond existing uses and features of current products to add new uses and features. It goes beyond existing distribution channels to add new distribution channels. It goes beyond existing marketing techniques to employ new marketing techniques. Through these activities, it expands the scope of what it is doing now, with the intention of increasing market share, revenues, and profits.

Describe How a Strategy of Growth Through Internal Expansion Works