Lecture 3 Flashcards
1
Q
Growth as an outcome
A
measurable
increase in sales, revenues, profits,
employment,…
2
Q
Growth as a process
A
continues learning and adopting
3
Q
Why should managers want to expand the business
A
- Easier to survive difficult times if they are bigger
- Opportunities for long term
- More income for business and managers
4
Q
Growth willingness: why decide to grow
A
Ability
Need
Opportunity
(all lead to growth motivation)
5
Q
Growth Motivation
A
Having an perception that growth is possible
Stable personality trait
Entrepreneurs are usually for growth and managers are not for growth
6
Q
GOOD REASONS
NOT TO GROW A FIRM
A
Potentially disrupts existing routines
Requires a risky commitment of (scarce) resources
Often leads to more stress
7
Q
The Iron cage
A
Managers are replaced if they do not grow the business
The questions is not IF its HOW
