Planning for Growth

Planning for Growth

Table of Contents
INTRODUCTION...........................................................................................................................1
P1. Key considerations for evaluating growth opportunities.................................................1
P2. Opportunities for growth using Ansoff growth vector matrix.........................................3
TASK 2............................................................................................................................................4
P3. Sources of funding with their benefits and drawbacks....................................................4
TASK 3............................................................................................................................................5
P4. Business plan for growth of business...............................................................................5
TASK 4............................................................................................................................................8
P5. Succession and exit plan for small business with its advantage and disadvantage..........8
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Planning for growth can be explained as the business activity which is helps business
organisation to perform every single work in a systematic manner. It current scenario, planning is
necessary because it allowed to decided that which types of decision are necessary so that goals
can be accomplished. The chosen organisation for the project is Newbury News which is one of
the Small business organisation which has been establish in UK. The company deals in the
market of printing and publication of newspaper. In this respective file, some of the topics which
will be discussed are related with measure growth and various opportunity. Even source of
funding will be explained. In addition, Business plan will be explained which will tell that how
company can expand their business at a greater platform.
P1. Key considerations for evaluating growth opportunities
In current scenario, planning is one of the most crucial thing within the business
organisation as it tells that how any of the positive decision is needed to be taken for future
period of time. It mainly helps in the situation where difference is needed to be done in expected
and actual result. While talking about the Newbury News, it is necessary for them to prepare the
suitable plans at the time of taking decision which can help company to bring out the positive
result. Below, there are some of measures which can be beneficial for Newbury News so that
required objectives can be achieved.
Porter's generic strategy
It is understood as model which can be used by business for the purpose taking the
crucial benefits from the market by giving tough competition to the rivalry firms. It is one of the
business model which can help for taking advices that how company is required to perform so
that actual result can be converted (Barbour and Deakin, 2012). The points which are needed to
be considered within Porter’s Generic Strategy are:
Cost Leadership strategy- The main strategy which is mainly considered in it is that
how cost can be reduced at the time of producing any of the single unit. In context of Newbury
News, it is important for them to understand that they must prepare those plans and policies
through which unnecessary expenses can be reduces so that profitability can be improved. Even
company will get the chance to build strong relationship with customers. But, will trying to
1

reduce the cost of the product they must have to focus that quality is not decreasing because if in
case that happens they this respective strategy will not be beneficial for the organisation.
Differentiation- It is one of the strategy where company like Newbury News will to
introduce new and innovative idea in their news so that they can take lead within the market. It
will allow customers to connect with company in more numbers so that targets can be
accomplished. The main thing which is needed to be focus over here is that the innovative
product must be relatable with the requirement of business organisation because if in case they
fails to do so then loss may have face by the business organisation.
Cost Focus- There are some of the situation where unnecessary expenses occur within
the company so it is necessary for the organisation that they must plan and find that what are the
requirement of customers/users. Newbury News will be beneficial from this because it will
directly reduce unnecessary expenses so the profit can be enhanced. Focusing on cost should be
on that particular manner where they must try to eliminate additional number of employees who
are not beneficial for the organisation. But, this can create problem as well for the organisation to
perform smoothly
Differentiation focus – In this particular strategy, it will be important for Newbury that
they must try to prepare plans and ideas though which they can help to improve the brand value
in front of the users. Organisation has the option to take the help of differentiation focus as it
helps to add on the brand value of the organisation (Glock, Jaber and Zolfaghari, 2012). But,
while developing the brand value they must try to find that they will not increase the prices of a
product because that may reduce the number of customers from the company.
Out of all four different types of strategy, it is necessary for Newbury News to focus on
Cost Focus because the major focus on it will be that how company can reduce the cost for
enhancing the total revenue.
PESTEL analysis
In any of the situation, it is necessary for business firms to understand that what are the
external factors which can create unnecessary problem for the business organisation. For
company like Newbury News, they can easily take the help of PESTLE Analysis which will give
them the idea that how company can overcome the problem which occurs at the time of
conducting business activity. In addition, company will also get the chance to improve the
overall profitability of a company. Below, PESTLE analysis has been explained in brief.
2