Business Growth Strategies: Thirdway Group Planning Report

This report provides a comprehensive analysis of business growth strategies, focusing on the Thirdway Group, a small-scale online products provider. The report begins by analyzing key considerations for evaluating growth opportunities, including competitive advancements using Porter's Generic Strategy Model and the BCG matrix. It then applies Ansoff's growth vector matrix to evaluate market penetration, product development, market development, and diversification strategies, supported by PESTEL analysis. The report assesses potential funding sources, including bank loans, and discusses their benefits and drawbacks. Furthermore, it includes the design of a business plan for growth, incorporating financial information and strategic objectives for scaling up the business. Finally, the report assesses exit or succession options for a small business, explaining the benefits and drawbacks of each option. The report aims to provide a clear and actionable roadmap for Thirdway Group's sustainable growth and development.

PLANNING FOR
GROWTH

Table of Contents
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
PART 1............................................................................................................................................4
P1 Analyze key considerations for evaluating growth opportunities and justify these
considerations within an organizational context..........................................................................4
P2 Evaluate the opportunities for growth applying Ansoff’s growth vector matrix....................6
PART 2............................................................................................................................................8
P3 Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source............................................................................................................8
P4 Design a business plan for growth that includes financial information and strategic
objectives for scaling up a business...........................................................................................10
P5 Assess exit or succession options for a small business explaining the benefits and
drawbacks of each option...........................................................................................................13
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
The planning for growth is considered as a key approach which helps a business to
develop effective development of a company. It is one of the key role of a business to take
assistance of planning for growth in order to achieve desired goals in a set period of time.
Growth planning is majorly formulated by top level and strategic management of a company in
order to achieve key aspects of business development. The planning should be developed and
formulated by top level and strategic management in order to achieve set targets and goals in a
set period of time. In this project example of a small scale company named Thirdway group is
taken into consideration which is providing online products to serve the clients and customers.
The project will cover key and major growth opportunities with the application of Ansoff matrix
model. The report will also cover key sources of funding that are available to support financial
funding and related information.
MAIN BODY
PART 1
P1 Analyze key considerations for evaluating growth opportunities and justify these
considerations within an organizational context
The growth opportunities relates with chances an opportunities that makes business
development possible over chances which has been analyzed within various organizations. The
Thirdway is small scale business that has been providing various important services based upon
interior design and workplace consultancy(Flannery, Clarke and McAteer, 2017). The main
factor which relates with an organization is based upon making expansion possible about

business opportunities within marketplace. The main factor relates with competitive
advancement in relation to market has been discussed as follows:
Competitive Advancements –
This is consider to be one of the most effective approach that makes advantage attained
with its competitors. The Thirdway requires to apply about key models and theories relating with
BCG metrix and Porter generic model that leads over developing success for business. The
explanation of business model has been discussed as follows:
Porter's Generic Strategy Model-
The Porter' generic strategy model that makes effective approach developed upon
elements that helps in making development of business possible for business organization. Porter
generic strategy in relation to selected organization like Thirdway has been discussed as follows:
 Cost leadership- The cost leadership is an important strategy which helps business
organization to develop unique price over product and services(Friedmann, 2019).
Through adopting cost leadership approach and its applicability makes dynamic approach
developed over authentic operations within marketplace and also leads towards setting
reasonable price over product and services. The decoration services and products requires
to provide Thirdway group in more effective manner within short span of time.
 Differentiation- The differentiation relates with strategy that makes key aspects
developed for helping Thirdway organization in order to provided quality services. All
effective approach is based over selling of products and services which is required to be
set within mind of various organization. The differentiation relates with development of
innovative ideas that makes business activities carried in disciplined manner.
 Focus- The focus is over key elements within Porter's generic strategies that provides
assistance over important product and services. The main focus is based over products
and services quality helping Thirdway over achieving of goals and targets set by an
organization. The main business operations is focused over achieving of planning and
policies making organization development possible. This increases stability and
operations planning with strong framework for an organization.
Bostan consultancy group matrix
BCG matrix has been developed by Bruce Henderson in the year 1970. This matrix helps
upon attaining long-term strategic planning that makes organization attain proper knowledge in

relation to product and services that requires to be launched by group of people. This helps in
improving performance according to situations and growth rate of business. It is majorly used for
understanding about group potential over product opening an organization like Thirdway.
Further, explanation has been provided as follow: Stars product- These are the goods and services that is related to high growth rate and
high market share. This is required over making competitive over products and services
to customers. In context of Thirdway has star products making profit and revenue
generated over large market shares. Organization is required to develop priority which
makes market share for the quadrant increase with sales and profit. Cash Cows- The product matrix is based over those aspects which is related with market
that has high shares(Gallent and Tewdwr-Jones, 2016). In this organization is required to
attain focus over cash cow that helps in defining about market shares over start products.
In relation to Thirdway BBQ is considered as its high quadrants which makes low growth
rate but high market share within the market and industrial investment is required to be
maintained. Question mark- This is known as problem child within goods with high growth rate and
low market share has been covered. In context of Thirdway beverages is based over
category which makes access over for an organization. Make it star produuct with answer
profit and not market share within it.
 Dogs- Under the category product with low growth rate and low market share has been
covered which is best for an organization that stop managers to carry cash that identifies
tobacco as waste product for the organization. So managers decide to control production
of product. It is focused upon start product which makes growth to be achieved by an
organization.
P2 Evaluate the opportunities for growth applying Ansoff’s growth vector matrix
The main analysis that is related to growth opportunities is effective for business entity
making order to be performed with important functions. PESTLE analysis and Ansoff matrix is
used for helping business by increasing chance of systematic growth(Halsmayer, 2019.).
Through applying these models various factors are understood within business that is related to
growth opportunities within business. The Ansoff growth matrix is based over major strategic
tool which has been formulated by H. Igor Ansoff which makes major strategies in relation

over growth opportunities formed by an organization. The practical applicability of Ansoff
matrix for Thirdway organization has been conducted as follows:
 Market penetration- The most effective stage within Ansoff matrix is related to
penetration of marketplace. This approach is used in order to increase sales upon existing
products within current marketplace. Under it less effort is required by management of
organization making key goals and objectives within an organization. Thus it is important
roles and responsibility which makes management of an organization possible over
promotion of sales that exists within sales target of an organization.
 Product development- This is one of the major aspects that makes key approaches
adopted by an organization for forming new products. It is major roles and
responsibilities related to marketing management in order to form precise approach in
carrying business operations related to product development. The strategy is based over
developing products sales which brings innovation to key customers(Hall and Tewdwr-
Jones, 2020). Thirdway organization is involved over product development of services in
order to imply with suitable practices making innovation of products set as per demand of
business trends.
 Market development- The market development is one of the major factors that can
impact on revenue and profitability of products and services. In order to lead and
dominate the marketplace market development is most essential function of a business.
The market development approach includes promoting sales activities in new
marketplace of existing products. It is one of the key roles and responsibilities of a
company to achieve market development with major focus on promotional activities and
it also requires major efforts.
 Diversification- The diversification is an effective strategy which is important part of
Ansoff matrix that makes development possible with diversification of marketplace
which relates with important functions that is based over growth and development
chances that makes success more dynamic in nature. This approach states that company
changes its operations by promoting sales of new products in totally new marketplace.
PESTEL Analysis
 Political factors- These are those factors which is based over policies that has been
developed by government of a country. The analysis over political factor makes scope

open for business to operate on large scale(Knaap, Avin and Fang, 2018). This makes
cooperative laws formed for organization like Thirdway developed in effective way.
These factors are responsible towards making structure which makes business to be
operated within a country. Thus policies formed must be suitable for business operations
of Thirdway.
 Economic factors- The factors relates with certain elements like inflation, recession,
import and export rate which is based over economic background of an organization. This
element deals with various aspects which impacts economic working of an organization.
Further, they have important role to play within development of economic balance within
an organization. If economic policy regarding import and export rate is rigid then it
impacts profit generation for Thirdway.
 Social factors- Social factors are those factors which is based over culture and tradition
within society that impacts sustainability of an organization. These factors are helpful in
analyzing about internal environment which makes work culture of particular
organization understood more effectively. Thirdway by using this factor is able to
develop positive working culture of an organization.
 Technological factors- These are technological factors that is based over development of
technology taking place all over world(Krueckeberg ed., 2016). The development
requires to play crucial role over development of organization by managing software and
hardware enhancement. Technological factors includes various aspects like management
information system, customer relationship management software and decision support
system which helps Thirdway to pave path over success.
 Legal factors- These are those factors which is based over development of legal policies
and framework which deals with laws that are regulating various aspects of society. Legal
factors has important role to play within development of legal framework which makes
legal functions performed within organization like Thirdway.

PART 2
P3 Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source
The investment is a primary technique which facilitates in offering right and good enough
finances to a enterprise with a purpose to enlarge operations. The enterprise ought to technique
improvement of systematic operations with a purpose to boom their length and scope. Key
parameters and techniques to increase reasserts of investment for Thirdway organization are
noted below:
Bank loans- The financial institution loans are commonly used reasserts of investment
which facilitates a organisation to increase their operations. It is one of the maximum vital
position of a enterprise to take financial institution loans via way of means of achievement of all
foremost formalities with a purpose to boom possibilities of enterprise improvement and success.
Most of the success small firms think about Banks loans with a purpose to increase centred
operations.
 Benefits- The principal gain of taking loans from Banks encompass small instalments
that are to be paid via way of means of companies. Another foremost benefit of financial
institution mortgage is, it's far one of the maximum formal methods to encompass key
recognition on enterprise operations. Another foremost gain of Bank mortgage is the
instalment date will be prolonged in step with precedence of the enterprise enterprise via
way of means of paying a nominal charge. The financial institution mortgage and its
approval takes little or no time which makes it simpler for the enterprise.
 Drawbacks-It is principal position of a enterprise to recognition on thinking about
drawbacks and obstacles of Bank Loan(Mansell, 2021). The principal downside of
financial institution mortgage is burden of greater price related to them within the call
hobby rate. Also, there may be a strict agenda of compensation of the money.
Creditors- The lenders are taken into consideration as foremost reasserts of finance
which may be a primary alternative to be had to enterprise entities. It is principal position of a
enterprise to recognition on taking finance from lenders to preserve improvement of operations.
 Benefits-The gain of taking monetary assist from lenders consists of foremost
recognition on improvement of enterprise operations(Liang and et. al., 2020.). Major gain
of taking monetary assist is, the compensation is prolonged in step with the need of

enterprise proprietor. Another foremost benefit of taking credit score from lenders
consists of number one recognition on mortgage nature and grants.
 Drawbacks- Main downside of taking loans from lenders consists of that there may be
no formal settlement among the two parties. It is one of the foremost position of a
enterprise to research key elements which might be affective a enterprise extra
dependable on reassets of investment.
Angel traders- A enterprise can take mortgage from angel traders with a purpose to
formulate foremost practices which might be powerful for enterprise organisation. The funding
in a enterprise is facilitated via way of means of angel traders with a purpose to enlarge and
develop enterprise operations.
 Benefits- The principal benefit of taking monetary assist from angel traders encompass
massive quantity of investment. This facilitates in improvement of key enterprise
operations in an powerful way. Angel traders also are committed to offer any form of
monetary help every time organisation calls for it.
 Drawbacks- Main downside of choosing angel traders as a supply of finance is threat
related to debt compensation. It is one of the key roles of angel traders to offer assist to
monetary help however they encompass threat element on the identical time.
P4 Design a business plan for growth that includes financial information and strategic objectives
for scaling up a business.
In the functioning of a commercial enterprise organization, marketing strategy is a chief
record which presents making plans associated with each component of commercial enterprise
entity. It is main position of a commercial enterprise to expand marketing strategy so that can
advantage improvement of main commercial enterprise operations in a fixed duration of
time(Olesen and Carter, 2018). The marketing strategy consists of numerous parameters and
dimensions which might be vital for growing commercial enterprise increase. In the generation
of stiff opposition among exceptional agencies, it's miles critical for a commercial enterprise to
take guide of marketing strategy for growing probabilities of gaining aggressive benefit. The
marketing strategy of Thirdway business enterprise is stated under for scaling up commercial
enterprise and its dimensions:
Executive summary- The Thirdway decorations business enterprise is following key technique
on the market with the aid of using growing probabilities of commercial enterprise improvement.

The predominant plan of commercial enterprise is to make bigger its operations within the
market of United Kingdom with the aid of using establishing greater branches in Birmingham,
Manchester and London.
Products and offerings- The Thirdway business enterprise will offer exceptional primarily
based totally indoors decorations offerings to main customers. It is one of the main roles of
Thirdway decorations to offer key and powerful merchandise additionally for residence properly
being.
Mission and imaginative and prescient- Main imaginative and prescient and venture of
business enterprise is to be mounted as one of the greatest agencies in United Kingdom within
the discipline of indoors decorations. The business enterprise is creating a imaginative and
prescient to be the quality indoors decorations associated answers company so that organization
gain key and aggressive edge.
Strategic objective- The Thirdway commercial enterprise is making plans to undertake quality
strategic technique on the market with the aid of using competing with main competition on the
market(Pan and et. al., 2021). It is one of the main roles of business enterprise to expand
techniques in line with dynamic nature of market to guide the opposition.
Operational approach- Operational approach of business enterprise will consist of that
specialize in top-quality utilisation of assets to advantage aggressive increase. The operational
approach of Thirdway business enterprise can even consist of improvement of an professional
operations control branch so that growth probabilities of aggressive increase.
Unique promoting preposition- In order to advantage a terrific and main area on the market, it's
miles vital for commercial enterprise company to expand USP. The Unique promoting
preposition of Thirdway business enterprise is to set quality strategies primarily based totally on
statistics and generation so that expand aggressive increase so that can advantage market
improvement.
Stage 2 – Industry/Market Analysis
In order to examine the enterprise and the scenario of market, it's miles vital for
Thirdway business enterprise to carry out enterprise primarily based totally evaluation. The
SWOT evaluation can be the frameworks which have to be carried out with the aid of using
Thirdway business enterprise so that take advantage effectiveness on the market. The SWOT
evaluation of Thirdway business enterprise is stated under:

 Strengths- The strengths are skills of a commercial enterprise company which allows in
overcoming main limitations and hurdles. It is one of the main position of control of a
commercial enterprise to recognition on key strengths so that can growth aggressive
technique(Perera and Emmanuel, 2017). The predominant strengths of Thirdway consists
of its expert team of workers and strategic branch. These strengths will guide the
commercial enterprise entity to growth probabilities of achievement on the market.
 Weaknesses- The weaknesses are taken into consideration as predominant key obstacles
that are confronted with the aid of using the business enterprise at market. Human aid
control and advertising and marketing control are main weaknesses of a business
enterprise that may negatively effect on operations of the business enterprise.
 Opportunities- The key possibilities that are to be had to Thirdway business enterprise
consists of golden probabilities. The increase and enlargement on the market are main
possibilities which might be to be had to Thirdway business enterprise on the market. It is
prime roles and obligations of pinnacle stage control of business enterprise to take benefit
of the to be had possibilities.
 Threats- The threats are taken into consideration as main worry elements for agencies
that are appearing their features on the market(Ruparathna and et. al., 2020). It is
predominant position of Thirdway business enterprise to examine scope of key threats
and expand systematic operations to guide opposition. The competition are main threats
for Thirdway business enterprise which develops probabilities of aggressive increase.
Stage 3 – Financial Plan
Pre-launch cash budget (In £)
Cash Flow budget
Particulars Jan Feb Mar Apr May June July
Cash inflows
Investment 8000
Credit sales 2000 3000 3000 4500 1500 3500 4200
Total inflows 10000 3000 3000 4500 1500 3500 4200
Cash outflows

Fixed : Equipment’s 2000 2500 1500 2000 1200 1500 800
Variable : Direct material 300 300 200 300 150 500 300
Total outflows 2300 2800 1700 2300 1350 2000 1100
Net cash flow 7700 200 1300 2200 150 1500 3100
Opening balance 0 7700 7900 9200 11400 11500 13000
closing balance 7700 7900 9200 11400 11550 13000 16100
Stage 4- Monitor and Control
The monitoring and control of key operations is most essential role and responsibility of
Thirdway company. In order to monitor and control key operations related to companies, the
main role of Thirdway company is to focus on development of effective supervision and control
on all operations.
P5 Assess exit or succession options for a small business explaining the benefits and drawbacks
of each option.
Their are exclusive levels that has been confronted via way of means of an business
enterprise throughout which control calls for to take selection in powerful manner for you to
makes scenario sustained(Thornley, 2018). Exit Planning way procedure inside which
commercial enterprise comes to a decision over succession. The opportunity over numerous that
may be followed via way of means of business enterprise has been mentioned as follows:
Joint Venture: Joint assignment is primarily based totally upon procedure inside which
agencies come collectively and operates over right criminal agreements. Thirdway must do not
forget acting joint assignment with different companies like Andrew Martin etc.
 Benefits:The agencies will proportion fees and dangers that has come at the side of joint
assignment which reduces threat of ability scenario with exclusive regions.
 Drawbacks: There are numerous conflicts among company and joint assignment that has
verified to be luxurious for them.
Merger: This is described as procedure inside which agencies has come collectively via
way of means of forming new assignment that has been running as an unmarried commercial