Planning for Growth: Analyzing Considerations and Strategies for Business Expansion

PLANNING FOR GROWTH

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Analyzing key consideration for evaluating growth opportunities along with
justification of this consideration within organization......................................................3
P2 Ansoff’s matrix.............................................................................................................6
M1 Discuss the options for growth using analytical framework to understand the
competitive advantage with an organization.....................................................................7
D1 Evaluate a specific options and pathway for growth along with taking into account the
risk of each option and how they can be mitigated...........................................................7
P3 Potential source of funding available for business along with benefits and drawbacks7
TASK 2............................................................................................................................................9
P4 Business plan for growth which include financial information and strategic objective for
business..............................................................................................................................9
P5 Success exit for succession option for a small business along with explaining benefit
and drawback of each option...........................................................................................10
M4 Evaluate exit or succession option for a small business is comparing and contrasting
the options and making valid recommendation...............................................................12
D4 Critical evaluation of succession or exit options for company along with justified
recommendation for their implementation......................................................................13
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Planning for growth refers to strategy activity which is generated by the management of
an organization in relation to ensure about that organization. This should achieve the sustainable
growth in future with the help of using different techniques and methods. In relation to this, there
are many short term and long term plans which are developed by the manager. In context to this,
it need to be ensure that, they should implement the strategy in effective manner that can help to
achieve high level of growth in future. In this report, Knight and Dukes Homes has chosen as a
small medium Enterprise company. This is a real estate agency which is there in London, UK. In
this report, there are different techniques which are achieved for the growth. In relation to this,
there is a discussion about the key consideration that are evaluating growth opportunity along
with justification about consideration for the organizational contact. There is also evaluation for
the opportunity of growth by applying Ansoff’s growth vector matrix. There is also discussion
about the potential source of funding which are available for the small businesses along with
their benefits and drawbacks for each and every sources. There is also discussion about the
business plan for the growth which are able to include financial information along with strategic
objective for scaling up business. In this report, there is some information about the assess exit or
succession options for the small business for explaining the drawbacks and benefit of each and
every options (Abdallah, 2017).
TASK 1
P1 Analyzing key consideration for evaluating growth opportunities along with justification of
this consideration within organization
Key consideration for growth
There are many types of consideration that are required to be included by the
organization in order to high level of growth which can be achieved in the future. In relation to
identify search key consideration of growth there are some of the framework which should be
able to help in to find that some of these framework are McKinsey’s matrix and BCG matrix.
History of BCG matrix
BCG matrix also known as Boston consultancy group matrix that was created in 1960
and have the founder name is Bruce Anderson. This is the tool which is able to help the client for
efficient allocation of resources which are there among different business unit. This can help to

use as a Portfolio planning and able to analyse tool for marketing strategy development and
brand management (Henttonen, 2017).
History of McKinsey’s matrix
The McKinsey’s matrix which was developed jointly by General Electric and distances in
early 1970 which is as a derivation of the BCG matrix on that time. This has a proximate 150
different business unit which was appointed with the firm investment. In this, there was reason
the internal concern that is about the approach by the organization for investment decision
making. McKinsey’s matrix are able to solve many issues of the decision model and where are
able to propose a sophisticated and comprehensive approach in relation to investment decision
making.
BCG matrix
In this, there are two type of factor which are related with market share and market
growth rate. This both are able to affect the business segment there are going to be discussed
further (Turyakira, 2018).
Star- This one is represented as the high relative market share along with my market
growth rate. This one is able to represent that product are growing as the faster rate in relation to
this, they require huge investment to maintain their position in the market.
Cash cow- This one shows that, there is high relative market share and need for low
market growth rate. This is the one in which there is need to product who have low speed of
growth rate but is able to hold the high market share. This one is able to repay lot of shares for a
company and does not require high level of finance for their extension.
Question mark- This is the one which have the low market share but have high market
growth rate. In this, it indicates that the company which have their product having low market
share. In high growth, market are needed high investment to hold their share but they are not able
to generate same level of cash in comparison to investment (Liu and Yan, 2019).
Dogs- This represent low market share and low growth rate. In this, there is neither high
growth rate nor market share. These are the product which are able to generate enough cash that
can they maintain them self but are not able to survive in long term.
GE/Mckinsey matrix