Planning for Growth

UNIT42 Planning for Growth

Contents
INTRODUCTION.......................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1 Key considerations for evaluating growth opportunities....................................................................3
P2 Opportunities for growth applying Ansoff’s growth vector matrix.....................................................7
TASK 2.......................................................................................................................................................8
P3 Potential sources of funding available to businesses and benefits and drawbacks of each source......8
TASK 3.....................................................................................................................................................10
P4 Business plan for growth that includes financial information and strategic objectives.....................10
TASK 4.....................................................................................................................................................12
P5 Exit or succession options for a small business explaining the benefits and drawbacks...................12
CONCLUSION.........................................................................................................................................14
REFERENCES..........................................................................................................................................15

INTRODUCTION
Growth planning is strategic business activity which allows entrepreneurs to plan for and
measure organic revenue growth. This enables organizations to focus its limited resources on
focused attempt to react to business changes brought on through digital disruption as well as
differentiate themselves from competition.Every business, from the beginning to the end, relies
heavily on planning. Every successful firm focuses on the day assessments of its business
strategy in order to forecast future development (Baldassarre and et. al., 2020). Small businesses
must first assess their current performance before developing policies and plans which will help
them grow in future market.Every business strives to improve its brand image in
the marketplace. To achieve this, the organization must adopt and also develop proper goals to
ensure that the entire process runs smoothly. With the aid of this, firm can simply increase its
profitability in the marketplace.The current report is related to Aggregated Telecom (8ell) and
this company provides the effective communication services to other firms in UK. In this report
will be discussing about the Opportunities for growth applying Ansoff’s growth vector matrix.
There will be identified the Potential sources of the funding which available to businesses and
benefits and drawbacks of each source.
TASK 1
P1 Key considerations for evaluating growth opportunities
Aggregated Telecom (8el) is a small entity that offers telecommunications services to
individuals so that they may communicate with one another. Its major purpose is to achieve its
business aims and objectives in a reasonable amount of time. Growth possibilities aid in
enhancing an organization's productivity and also profit margins.Planning for growth enables
businesses to deploy resources efficiently in response to changes in the external environment
caused through digital disruption as well as to separate themselves from competitors. Planning
assists small businesses in gaining more market share and increasing income in a short time. This
is critical for Aggregated Telecom (8el) to recognize both internal and external elements in order
to grow their business. Planning is vital and beneficial in completing activities in a methodical
manner in order to obtain greater growth chances (Clifton and et. al., 2020). With assistance of
this, a corporation may achieve specific targets within a certain time frame.Implementation of
advanced technology supports in the development of small businesses and provides this

organization with options to deliver excellent telecom services. In context to this, growth
opportunities are available for the Aggregated Telecom (8el) given below:
Competitive advantage
In compared towards its strong competitors, a corporation wants a more favorable
position in order to make profit. Aggregated Telecom (8el) is required to develop an effective
telecommunications plan in order to connect with a larger number of individuals. This will be
beneficial in attracting a big number of customers to company and successful in gaining a
competitive advantage for the organization.
Porter's Generic Model
This model explains how a company seeks a competitive advantage throughout a certain
market area. The business's relative position inside the sector determines whether firm's
profitability is higher or lower than industry average.Porters' generic model was used by
Aggregated Telecom (8el) to show if a company's profitability is high or poor (De Bruyckere and
Everaert, 2021). In 1980, this model was created. A corporation can seek a few of two sorts of
competitive edge such as lower expenses than its competitors or distinguishing along its
customer-valued parameters in order to fetch higher price. A corporation can also select between
two sorts of the scope like focus or sector, with the latter allowing this to sell more products to a
wide range of market groups.The Porters' generic model explains how a company might get a
competitive advantage in a given market. This demonstrates the numerous options made in terms
of growth potential.
Cost leadership- Cost leadership refers to a company's goal of being the lowest-cost
producer inside its industry. Cost advantages can come from a variety of places, depending on
industry's structure. The quest of economy of scale, proprietary technology, privileged access to
raw resources and other considerations may be among them.If Aggregated Telecom (8el)
employs this method, this will assist to improve larger levels of profits through lowering prices
while charging estimated price of enterprise. Different companies use this kind cost leadership
approach to increase their market share by offering low pricing while yet making a decent return
on each service they provide. This serves as cost leader and aids in maintaining a competitive
advantage for a long period (Harrison, 2020).