Planning for growth

Planning for growth

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Key considerations for evaluating growth opportunities......................................................1
P2. Evaluation of the opportunities for growth applying Ansoff's growth matrix......................4
TASK 2............................................................................................................................................5
P3. The potential sources of funding available to businesses.....................................................5
TASK 3............................................................................................................................................6
P4. Design a business plan for growth that includes financial information and strategic
objective......................................................................................................................................6
TASK 4............................................................................................................................................7
P5. Assess exit or succession options for a small business explaining the benefits and
drawbacks....................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Planning for growth is a business process in which administration of organisational plans
is utilised for development of business. With the changing condition of Brexit small and business
companies are influenced in favourable and unfavourable manner. The key consideration form
measuring opportunities that make contribution in development of the company. With the help of
different organisational resources, company can make success in it business and accomplish set
business goals (Arzaghi and et. al., 2017). This assignment is based on Rowlinson Knitwear Ltd
Ltd which is a manufactures appeals. This written document will discuss information about key
consideration to measure growth options and evaluation of development opportunities. Further
will explain about Possible sources of fund and a production of a business plan that consists
financial information and objectives. Exit and succession options will also define in term of
growth and development of a small business.
TASK 1
P1. Key considerations for evaluating growth opportunities
All kind of business have to find out growth options that can assist a business in planning
their activities and framing plan of action. For this, management of organisations required to
conduct internal and external analysis. In Rawlinson Knitwear, there are several kind of
challenges and completive issues which influence the business of this retail firm in term of
productivity, profitability and revenue. The manager of this firm can use utilize Quantum
technology and monitor the impact and affect which is created by external factors on the
business of this company. In context of Rowlinson Knitwear Ltd, the management of respective
firm can use Porter's Generic and PESTEL analysis which would assist in gaining growth
opportunists and the explanation of them as below:
Porter's generic model
This concept can be implement by Rowlinson Knitwear Ltd to monitor the direction and
strategy of the company. Different small and medium sized firms can use this concept to take the
advantages related to finance in term of minimising cost and providing goods. The strategies of
this model are mentioned as under:
Cost leadership- In this strategy, SMEs can make maximisation in their revenues and
market share by providing their products at low cost to its potential clients. This plan of action is
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accepted by Rowlinson Knitwear Ltd in term of developing financial situation of the company
in term of adopting new technology (Ballaro and Polk, 2017). With the help of it, SMEs can
make minimisation in per unit cost of production.
Differentiation leadership- It is another strategy which help in making development in
profit and productivity of company in term of making change in product or cost of them. In
Rowlinson Knitwear Ltd, the administration can adopt this strategy in term of launching a new
and innovative product( like male and female trendy wear (Biddle and Taylor, 2018). It can also
make changes in its pricing strategies in term of capture large market.
Focus- It is another plan of action that can be suggested to Rowlinson Knitwear Ltd in
form of making growth in its business. By adopting it, SMEs can enhance or develop business
activities and operations. The administration of respective company can make focus on cost
either differentiation. Simply, the firm can make growth by making change only in prices of
goods and services by adopting cost focus. Either they can make changes in both product and
process by accepting differentiation focus.
As per above mentioned content, it can be analyse that SMEs needed to make
concentration on utilisation of differentiation focus strategy as it includes of unique design,
shape, size of products that provided small and medium sized organisations to its customers. This
strategy will assist the firm in maximising the profit and sales of organisation.
PESTEL analysis
It is a framework that is used by companies to determine the impact of externals and
macro environment factor that create on the business of a firm. In Rowlinson Knitwear Ltd, the
management of this company can use this analysis to determine the influence of external factor
on its business and the description of it, is under:
Political- This factor consist different elements like government policy, foreign trade,
trade restrictions, taxation policy, government stability or instability etc. In Rowlinson Knitwear
Ltd. The stability of UK government create favourable impact and with the help of it, the firm
can operate its business in smooth and sustainable manner (Demir, Wennberg and McKelvie,
2017). But to Brexit, changes are occurred in taxation policy that negatively affect the company
in term of generating inflation.
Economical- It consider different components like currency rate, exchange rate, interest
rate, unemployment rate, inflation and deflation, economic growth and labour cost etc. In UK,
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