Key Consideration for Evaluation of Growth Opportunities

This report discusses the key considerations for evaluating growth opportunities in an organizational context. It explores the importance of Porter's Generic Strategy, PESTLE analysis, BCG Growth Matrix, collaboration, and product life cycle. The report also provides insights into different strategies and techniques for expanding business and achieving competitive advantage. The case study focuses on Rowlinson Knitwear, a small UK-based company in the clothing industry, and its plans for business expansion after Brexit.

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The term planning is explained as a
formulation of an effective plan for
performing various operations that leads an
organisation to accomplish decided goal and
objectives. On the other side, planning for
growth is utilise for preparing plans to
accomplish desired position and success in
the future. According to present market
conditions most of the SME’s perform and
manage their business with small number of
individuals that provide support for the
economic growth of organisation. This report
is composed from point view of Rowlinson
Knitwear it is a small UK based company
that perform its business in clothing industry.
Now after Brexit organisation is focused to
enter into new market for expansion of
business. Moreover, this report highlights on
the analysis of key consideration to evaluate
growth opportunities and its evaluation with
implement of Ansoff’s growth matrix.
Various sources of funding to expand the
business and the business plan with pre-
determine financial strategies will also
include in this report.
Rowlinson Knitwear is a small organisation that is
performing their business within local premises of UK
only. But due to globalisation aspect it is obligatory
for each small organisation to expand and enhance
their business size as it help management to sustain in
competitive market. Some key considerations that are
implemented by Rowlinson Knitwear are mention as
follow:
Porter Generic Strategy- This strategy states way or
method that helps to accomplish competitive edge in
market. The four different ways which are formulated
by Porter to implement strategy that helps to expand
or grow the market areas for business which are
mention as follow:
Cost leadership- According to this strategy an
organisation provide good quality of product to the
buyer at low price. This leads management of
Rowlinson Knitwear to accomplish more market area
and cost leadership method is also useful for reducing
the operations of organisation.
Differentiation- With the method of differentiation
strategy an organisation provides creative and unique
products to customers or individuals by using
innovation methods. This leads organisation to
increase sale of organisational products.
Key consideration for evaluation of growth opportunities and its justification in an
organisational context
INTRODUCTION Key consideration for evaluation of
growth opportunities
Key consideration for evaluation of growth
opportunities
Cost focus- According to cost focus strategy an organisation
competes with rival organisation on the basis of price. It
refers that business which offer products at low price attract
more number of customers.
Differentiation focus- With differentiation focus strategy an
organisation provides unique products to its customers. In
context of Rowlinson Knitwear strategy differentiation focus
strategy is implemented to generate brand recognition of
organisation among customers.
Importance of Porter Generic strategy to expand business
The important of Porter Generic strategy for expansion of
business is to enter into new market for different situation.
This is also analysed by management that cost and creativity
are two aspects that are supporting business for accomplish of
competitive edge in market through improving the quality of
product.
PESTLE analysis- Pestle method is used by the organisation
for determining micro environment forces that are used for
influencing operations towards accomplishment of growth.
Political- The government of UK is stable due to its
transparent legal structure. Along with this ruling
administration also support local organisation for expansion
of business. So the probability to grow business is more
which increase company profits.

Economical- Brexit impact on all policies
that are relates with monetary aspect of
organisations. SME’s business is also
impacted due to change in money perspective
and this also refers revenue of respective
organisation is impacted. So with expansion
of business profits for business is increased.
Social- Individuals of UK are well educated
so by engaging them in operations and
functions of Rowlinson Knitwear it is easy to
expand business among different areas by
performing each task in an organised manner.
Technological- UK is a well develop country
so the technology used by organisation is
update. In context of future growth
technology help Rowlinson Knitwear to
enhance its business size properly.
Environmental- Rowlinson Knitwear
formulates all of its products by analysing
environment because from recent years it is
crucial for each company to manage
business. In the last, environment factor also
help to develop goodwill of organisation.
Legal- UK government formulate law
according as per small and medium size
business that also increases possibilities to
boost market area by formulating laws.
that support SME operations. Example- to
charge low tax on revenue which is earned
through export of business products.
Importance of PESTLE analysis- Rowlinson Knitwear
utilise PESTLE aspect to expand business by
understanding market environment size that support to
work with more efficiency because Rowlinson Knitwear
formulate its strategy according to environmental
conditions.
BCG growth matrix- The BCG growth matrix was
developed in the year 1968 by the Bruce Henderson. In
present scenario, it is a simple portfolio management
framework which help organisation to differentiate its
business from rival organisation. Step for BCG Matrix is
mention as follow:
Cash cow- Products that are related with low-growth area
but organisation undertakes high market share to manage
business that help to work as cash cow. Rowlinson
Knitwear utilise cash cow technique to sale product in
mature market.
Dogs- If an organisation performs it business in the less
market share and they also work with low rate for
growth. Rowlinson Knitwear overcome from dog method
because it block cash for longer period.
Stars- All the products which are high in growth market
and perform business operations to increase market area.
Rowlinson Knitwear focus that all of its product remain
under star strategy to work with more efficiency.
Question mark- The name suggests that this type of
product relates with each type of category. Rowlinson
Knitwear utilise the technique for leading customer to
enter into market for fulfil of specific need.
Importance of BCG matrix- In the context of
expansion for business it is identified that Boston
matrix leads Rowlinson Knitwear leads management to
overview various products and use them according to
decided portfolio. It result management is able to earn
profits for longer period by arranging products
according to BCG matrix.
Collaboration- One of the most effective techniques
that are used by all type of organisation to grow
business is to perform business through utilising
collaboration techniques. Some method for
collaborating with other organisation is mention as
follow:
Merger- The term merger exists among organisation
when two different organisation perform their business
by combining their operations with each other in order
to create a new business. Rowlinson Knitwear merges
its business through making contract with local
organisation.

Acquisition- The term acquisition exists
when an organisation or entity take over the
another business by adding its intent among
different subsidiaries of business portfolio.
Acquisition term is utilised by Rowlinson
Knitwear to increase market area at local as
well as international level.
Importance of collaboration- This is
complex for small organisation to manage
various resources that are required for
managing business. Example- Financial
challenge and employee engagement are the
complex task but with this collaboration such
as merger increase revenue and also number
of workforce to perform business at large
level.
Product life-cycle- The term product life-
cycle is divided into four different steps that
include introduction, growth, maturity and
decline. From perspective of Rowlinson
Knitwear product life cycle is used in
expansion through identifying products that
perform well in the new country. Example-
Maturity stage is an important task which
helps in increasing business area as more
customers are satisfied with products
according to new market conditions.
Importance of Product life cycle
With introduce and implement of product life cycle
it is identified management of Rowlinson Knitwear develop
a product framework. According to the product life cycle
organisation separate all products and introduce them
according to requirements of customers.
The term Ansoff’s growth matrix is defined as a
strategic tool that is used for strategic planning that
provide structure to organisation for completing work
according to growth strategy. Evaluation for each
growth opportunity as per Ansoff’s model is mention
as follow:
Porter Generic strategy
Market Penetration- The evaluation for increasing
business leads to improve market area with using
market penetration technique. In order to enhance
market area cost leadership strategy is used to sale
existing product in existing market.
Product development- As per product development
strategy management is managing business with
focuses on all differentiation focus areas. This also
used in managing business to complete work with
product development strategy.
Market development- According to market
development strategy organisation focus to work with
existing products as it enhances area by introducing
market share. It also use market development strategy
for enhancing business size through managing work
techniques.
Evaluation of growth opportunities

Diversification- By the diversification strategy it is
used by management to work with the risk aspect that
increases market size and profits for business.
In the last, it is also identified by management that
managing work with Porter generic strategy work as a
positive aspect. It govern better profits are earned by
Rowlinson Knitwear through operating business with
low cost in order to increase company profits.
Ansoff’s matrix for Pestle growth
Market penetration- With social factor it is identified
by management that the increasing areas for
organisation relate for completing work and improve
size through using social and technological aspect.
Product development- Technology tool is also used by
the organisation for improving company products. It is
also used by Rowlinson Knitwear to work develop
company products with use of technology area.
Market development- Brexit is impacting on business
size due to which techniques of organisation relates
with making market area. The impact of Brexit is
overcome from Pestle analysis with entering into new
market.
Evaluation of Growth Opportunities
Moreover, evaluation of Pestle generates moderate
impacts within an organisation that is leading business
to work with understanding macro forces for
environment.
Evaluation about BCG Matrix
Market penetration- According to market penetration
strategy and its evaluation according to BCG matrix
cash cow is used for managing work with technique
of market area.
Product development- The product development
strategy is not beneficial as it is used in making area.
In context of Rowlinson Knitwear it is used in making
areas which leads to work as Dogs.
Market development- As per evaluation BCG matrix
provides market development strategy with technique
of question mark. Rowlinson Knitwear utilise BCG
matrix to accomplish better position.
Diversification- This is last stage in which
diversification strategy work according to risk
strategy. With understand of analysing areas the term
diversification manage star method for completion of
work in proper manner.
The BCG matrix evaluation relates with
challenges because it generate complexity as
BCG tool is not providing right techniques or
methods to perform work appropriately.
Evaluation of collaboration in minimum
strategy
Market penetration- With market penetration
strategy organisation is used technique of
merger for completion of work in an organised
manner.
Product development- Different technique
utilised by company to work with proper
techniques as it provide reference to work with
merger technique.
Market development- In the market
development strategy merger helps in increasing
market areas by completing work properly to
manage task properly with use of merger
methods.
Diversification- This is last stage in which
technique under which areas related with
Rowlinson Knitwear with help of diversification
strategy.

With analysis of organisational work it is identified by management that product life cycle method leads management for completion of
each task in an accurate manner. This also refers product life cycle lead to work according to decided priority of products as market
penetration strategy help in managing work to obtain better results. For product development products are provided with use of
innovation technique. Market development this strategy is used for accomplish of work with motive of completing task in an organised
manner. Diversification step is implemented by product life cycle as it increase work area by arranging funds that boost work area. Along
with this some example that are related with business and engage by management is engaged as the major motive is to generate innovation
among organisation that make better results and it is leading to achieve more success in market. Like, to gain competitive advantage
production units are engage in organisation to improve product quality. At the time of innovation risk analysis and 360 feedback method is
also adopted by recruiting skilled and capable workforce in business that makes productive results from operations. The last example
relates with collaborating with local business which sale its products through online platforms for making company existing in online and
offline platforms. So more number of customers are attracted towards organisation and it also leads to cover more market area.
Evaluation of Growth Opportunities

Evaluation of Growth Opportunities
Growth is an important factor for an organisation
and to achieve more success in market. Organisation
specifically Rowlinson Knitwear identifies sources
such as advanced machine that add innovation in
company. Resources and capabilities like, effective
production units and quality, skilled labour engage in
organisation to gain competitive advantage in
market. The new products and services by engage
innovation is also included to perform all work in an
organised manner. Example- By satisfying
individual needs it is easy to arrange all resources
that match with customer’s requirements.
Along with this it is identified that there are various
risk aspects are also exists and it relates with
competition factor that make possibilities in
managing work as the supply of raw-material is a
risk factor because of change in quality perspective
and delay in deliver of products.
Digital platforms as well as technology are the
most important factor which is leading
organisation to complete all work with more
efficiency. It is because all users are active on
social media and other digital platforms for
completing organisational work at different
locations. This defines that it is easy for business
to increase its business size and growth.
Example- Organisations are selling its products
by online tools. It also defines management of
Rowlinson Knitwear also focus on growth
perspective so with online tools it is easy to
complete all work at large place which satisfied
needs and wants of customers in an organised
manner. Further, the focus of respective
organisation is to analyse different tools which
undertakes management to complete all work in
an organised manner. With this it is also
identified that expansion of business generates
growth to achieve more success in market.
Several options are also exits in market that
provides platforms to Rowlinson Knitwear
for completion of task with more efficiency.
Along with this most of them consider that
growth option is most essential for
completing which are Merger and
acquisition, joint venture and strategic
alliances are the options which provides
platform to complete all work by managing
and collaborating task with other business.
The term merger and acquisition defines
Rowlinson Knitwear engage better options
which is leading company to complete all
work in an accurate manner. These consider
company get more options to generate
specific outcome from company operations.