Planning for Growth: Evaluating Opportunities and Strategies for Airdri Company

Planning for growth

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Key consideration for evaluating growth and opportunity and justify it with organisation
context ........................................................................................................................................1
P2 Evaluate opportunity for growth applying growth vector matrix .........................................4
P3 Assess potential source of funding available to businesses with benefits and drawbacks of
each source .................................................................................................................................5
TASK 2............................................................................................................................................7
P4 Build a business plan for growth includes financial information and stratgeic objectives for
scaling up business .....................................................................................................................7
TASK 3..........................................................................................................................................10
P5 Evaluate Exit and succession options for small business with their advantage and
disadvantage..............................................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Planning for growth refers to a strategic tool that helps the business to grow and enhance
their revenues with their limited resources. This terms helps in gaining the competitive advantage
within the marketplace. It is very attractive to adopts the changes and enhance the image of the
brand in the market. This report includes the Airdri company that is one of the leading business
in UK that deals in manufacturing the hand dryers that is very reliable and place a great comfort
to the users. Due to Brexit this firm is planning to expand their business in the England with
modification in their hand dryers so that they earns a maximum amount of profits. It can includes
the Ansoff matrix that helps in grow their business by adopting best strategy. Further it includes
PESTLE analysis that helps in showing the various opportunities so that its easy to identify best
source of funds for growing the profits and revenues. At last it explains the exit and succession
options for the small business with their pros and cons so that organisations may easily identify
the best source(Hu, 2016).
TASK 1
P1 Key consideration for evaluating growth and opportunity and justify it with organisation
context
Basis of gaining competitive advantage
There are various resources that helps in gaining the competitive advantage for the Airdri
company some of them can be shown underneath.
 Resource- It is a significant term that helps in gaining the competitive advantage for the
Airdri and it includes human resource, advances use of technology, manage and maintain
monetary resources etc. that helps the firm to work effectively and gaining all the
objectives(Park and LaFrombois, 2019).
 Capability- This term helps the Airdri to examine the capability of resources so that
they can gain the overall objectives and helps in longer sustainability of the company.
 Core competency- This stratgey for gaining the competition is suggest that firm can
examine appropriately the needs and wants of the customers so that offering the products
to them is easy.
For evaluating the growth opportunity manager of Airdri needs to follow the PESTLE
analysis that helps in analysing the various external factors that can be shown below.
1

PESTLE Analysis- It defines the tool of macro environment in which companies needs
to scan their external factors by using six frameworks that included below.
 Political factor- This factor includes the policies related to government laws and
regulation, tax policy, fiscal policy etc. due to Brexit in UK political condition is not so
stable due to this Airdri can face the issue to operate their business outside UK but it
create a opportunity expand their business in UK and purchase the raw material from that
so that they can save their import cost due to this their production cost also lowers. Due
to this large base of customers get attracted(Leick and Lang, 2018).
 Economical factor- This factor includes the inflation rate, spending power of customers
etc. in UK due to Brexit customers power of purchasing is not so high. In case of Airdri
they can lowering their cost of the product and also providing employment to the
unemployed person so that they can spend more. This term gives the opportunity to work
effectively on low cost and attracting the customers for gaining more profits.
 Social factor- It involves values, beliefs, perception and taste of the customers in society.
People of UK are very conscious related to hygiene and health this factor creates
opportunity for Airdri as they deals in selling Hand-dryers that will attracts the large base
of customers so that company may enjoy large amount of profits and revenues.
 Technological factor- In today's world customers are more advanced and excited to use
the new technology. In case of UK, people are very attractive to use and feel the new
technology this will positively affect company Airdri because they can adopts the latest
technology in their hand dryers so that they can attracts the large base of customers and
grow their market share.
 Legal factor- This factor includes the laws and regulation that was imposed by the
government for the welfare of employees so that they work effectively. In case of Airdri,
if manager can follow the equality law for their workers than they can capture more
opportunity for gaining the more profits within a specified time period.
 Environmental factor- It involves the guidelines relating to use the resources that are
not harming the environment. In case of Airdri, manager need to properly follow the
environmental law. This helps in creating the opportunity for expanding the business in
the country and gaining large base of customers.
2