Paper 3 Flashcards
1
Q
How to achieve inorganic growth
A
Increasing sales
New products
New markets
Franchising
2
Q
Benefits of organic growth
A
Less risky
No intergration so no loss of control
3
Q
Limitations of organic growth
A
Quite slow
Less economies of scale
Rivals may grow faster in organically
4
Q
Internal growth/ organic
A
Growth by a business using its own resources
5
Q
External growth/ inorganic
A
Growth through the use of mergers or takeovers
6
Q
pros of inorganic growth
A
synergy
economies of scale
profits increased
7
Q
cons of inorganic growth
A
regulators
could potentiallt lose dos
cost
8
Q
A
