In my previous post, I mentioned the five pathways to growth. The first pathway is organic growth. Organic growth is business as usual. It is growth through acquiring more customers or selling more products. You may be reading this blog because on some level your organic growth has stalled. But before you rush to adopt another strategy, consider some creative ways to re-energize your organic growth.
For example, one of our clients produced galvanized steel for railings and protective barriers. One of their main competitors was concrete – a viable alternative for building barriers – which has one simple advantage. You can paint concrete, which makes for a wider choice of looks than galvanized steel. This company needed to rethink who they were. They had become so identified with zinc that they neglected to realize they were in the business of providing solutions for railings and barriers. After this realization, they launched a new product line: paint for steel. Now they could add color to their product and provide a choice of looks to fend off the competition.
When organic growth stagnates, be prepared to go back to the fundamentals. At the same time, be prepared to think outside the box and search for less-than-obvious solutions.
The five pathways to growth are:
[…] Grow Organically 2) Exit the Market 3) Be the Low-Cost Provider 4) Do Nothing 5) Pursue External […]