It is a strategy of "aggregation" or expansion under which growth is achieved by expanding the scale of operations.
This strategy involves expansion of firm's product range and market. Three alternative strategies in this regard are as follows:
(a) Market Penetration: This strategy aims to seek increased sales of the present products in the present markets through more aggressive promotion and distribution. The firms tries to penetrate deeper into the market to increase its market share. More money is spent on advertising and sale promotion to increase sale volume.
(b) Market Development: This strategy aims to increase sales volume by selling the present products into new markets. For example, Pepsi Cola has achieved growth by capturing foreign markets. The existing product is pushed into new markets by changing its packaging, or band name, etc.
(c) Product Development: Under this strategy, a business seeks to grow by developing improved products for the present markets. The current product may be replaced or the new products may be introduced in addition to the existing products. The introduction of "Colgate-gel" by Colgate-Palmolive (India) Ltd. is an example in this regard.
To sum up, the intensive growth strategy involves the internal growth of the concern within its existing corporate structure. It is also known as growth through aggregation. The management of a firm may decide to grow through expansion of scale of operations in order to attain optimum size. The firm will achieve many economies in purchasing, production, financing, marketing and management.
The advantage is that the wage bill is reduced, the disadvantage of the retrenchment growth strategy is that a firm may loses employee without reaching their full potential.
A GEAR strategy is a South African Macroeconomic strategy that was implemented in 1996 after the misimplementation of the initial economic strategy RDP. GEAR stands for Growth Employment and Redistribution. The key pillars of GEAR when it was introduced was to reduce the fiscal deficit which was 9% in the fiscal year of 1993/4. However it has four more objectives that are embedded on this strategy namely: economic growth, full employment, price stability and balance payment stability.
A Verbal Strategy
Both
Labor intensive agriculture means it primarily uses physical labor of humans. Machinery intensive agriculture means it primarily uses the power of machinery to do labor, instead of or along with human beings doing the work.
Wat is the best intensive growth strategy of a Soup company?
market development, market penetration, product development, diversification
Intensive Distribution
A Horizontal Growth Strategy.
When one talks about strategy, it implies growth. Stability is necessary for growth, but without a growth strategy can lead to stagnation.
The concentration growth strategy is business expansion resulting from the strategy of focusing on products and markets. These have to be similar to, or complement, the current range of goods or services.
ow does comparative and international education in terms of intensive studies influence the growth of developing or transition countries?
There are several different types of business strategies that include acquisition strategy and competitive strategy. Other types of strategy are cost strategy, niche strategy, and growth strategy.
Growth strategy is a corporate-level strategy that seeks to increase the level of the organisation's operations. This includes increasing sales revenues,number of employees and market share. Growth can be achieved through direct expansion,vertical integration,horizontal integration or diversification .
Also referred to as an organic growth strategy, it's a strategy focused on making the core business better. i.e. Developing new products, increasing efficiency, hiring the right people, better marketing etc. On the other hand, an external growth strategy is more concerned with M&As, JVs, strategic alliances, etc.
A major advantage of substantive growth strategy is that if you achieve growth, you essentially set yourself up for exponential growth in the future. A disadvantage is that aggressive competitors are more likely to crowd you and phase you out.
the three indicators, unemployment, inflation and GDP growth