growth strategy framework

How do you solve a revenue growth strategy question? Among the biggest mistakes, startups’ founders might make is to want to serve pretty much anyone in that industry. Sorry, your blog cannot share posts by email. Growth through existing revenue sources is either driven by an increase in quantity of units sold or by an increase in average price per unit sold. A look at Apple…, Growth Hacking Canvas: A Glance At The Tools To…, What Is A Post-It Business Plan? After a bunch of pitches, you also managed to get some venture capital funding. There are a few acquisition targets Coca-Cola is considering. That’s the death zone. Learn more about business strategy in CFI’s Business Strategy Course. A Strategic Growth Framework. Visit The FourWeekMBA BizSchool | Or Get in touch with Gennaro here That is because we like to generate useless complexity when we can get along with simple heuristics. In that case, your organization will be primarily comprised of outside salespeople (those that meet the client face to face regularly) and engineers able to swiftly change the product features and specifics based on the feedback of the sales team. Next, you want to quantify the goal or target that the company is aiming for. Common business growth strategies In his book The Breakthrough Company, Keith McFarland recommends that small businesses and startups considering growth should proceed in a way that brings “the most results from the least amount of risk and effort.” This is another important aspect of prioritizing goals. Are there particular drink beverage markets that Coca-Cola has no presence in that they could expand into? APEC aims to achieve Balanced, Inclusive, Sustainable, Innovative, and Secure Growth. Monetization - Turn users into revenue through testing and experiment and optimize pricing plans. That might sound counterintuitive, as the first examples that are readily available to our minds are those of large tech companies like Facebook and Google; which became successful by serving masses of free users, with an asymmetric business model, financed by businesses and marketers bidding for attention on those platforms. Who is going to make the purchasing decision (a person or a group of people)? Quit your 9-to-5 job, and start your own company. Are they trying to grow revenues, profits, number of customers, or something else? There is a place where no startup wants to be. Additionally, joint ventures are much cheaper than acquisitions. In a joint venture, two or more companies enter a business arrangement in which they pool together resources and share risk in accomplishing a particular task. Interviewer: They are looking to grow revenues by $1B over the next three years. VIRTUAL MASTERCLASS - 24 FEB 2021. You need to be very specific. Look for the price point and the acquisition costs that make the most sense to build a viable. We’ll also show you the five steps you should take to solve any growth strategy or revenue growth case. A partnership is an association between two or more companies that provides some kind of benefit to each partner. After practicing a few growth strategy cases, you’ll notice that these cases follow a predictable pattern and you’ll be able to solve any growth strategy case that comes your way. How should we proceed? Once you have investigated all of the potential opportunities for growth, it is time to prioritize and recommend the ones that are best for the company. And I don’t mean it in a generic way. The company still focuses on SMEs as Moz has an extremely low acquisition cost for those customers. We take that convenience for granted today, but it wasn't always the case. Indeed, if we look at some of the primary reasons startups fail; some of them can be traced back to no market need, running out of cash, pricing/cost issues, and a product without a business model. Therefore, bringing in an additional customer is a painful process. If your customer acquisition for segments that are less valuable for your business (for instance, because they have a higher churn rate and lower lifetime value) is low, then you might still want to exploit those opportunities. Also, it is critical to understand the motivation of the key customers you’re serving. The result is a comprehensive, robust and executable strategic plan. I’d like to look into inorganic growth opportunities next. Interviewer: Your client, Coca-Cola, is looking for new opportunities to grow after years of flat growth. A growth strategy or revenue growth case interview is a common type of case you’ll see in your first round and second round consulting interviews. Interviewer: That sounds like a great plan. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful. The Strategy and Growth Framework outlines our priorities for 2020-2023. Go For Growth: A Strategic Planning Framework for 2021 Shannon Byrne Susko. However, we are still $400M in revenue short of our goal. At the same time, if your wallet is in the hand of a group of people with mixed motivations, that relationship becomes too complex to be left to marketing and branding alone. The post-it business plan is a methodology that helps you focus on keeping a long-term focus on your mission and... Post was not sent - check your email addresses! Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. One, Coca-Cola can leverage its existing production and distribution capabilities to gain meaningful market share in these emerging drink beverage markets quickly. This gives the acquiring company all of the revenue that the acquisition target generates. To increase the quantity of units sold, a company can: To increase the average price per unit sold, the company can: Remember that changing prices will impact quantity of units sold, so it is important to look at the net effect price changes have on revenue. Sequencing the growth journey. NEW ZEALAND 24 February 2021 11:00 - 12:30 NZDT. This website uses cookies so that we can provide you with the best user experience possible. These desired regional growth attributes are deeply interconnected. © Copyright Hacking the Case Interview 2021. It is aligned with the Strategy and Capital Allocation Framework that we introduced in … However, many do fall into that. It is intended for small and mid-sized cities, particularly those that have limited population growth, areas of disinvestment, and/or a struggling economy. A Framework for Pivoting Into Growth I introduced this simple framework in our April webinar on resetting your marketing strategy for the pandemic . For instance, if we look at companies like Algolia (a search engine for websites), it is interesting to notice how of the over six thousand customers, about three hundred might make up around 80% of the company’s overall revenues. Consider whether an acquisition, joint venture, or partnership would be most appropriate given your company’s situation. Developed by an ex-McKinsey consultant the guide includes best practices, examples, and a complete 54-page Sales Strategy Plan PowerPoint Presentation. Visit The FourWeekMBA BizSchool | Or Get in touch with Gennaro here, Key Lessons In Lean Analytics With Alistair Croll, How To Design A Winning Business Model With Adam J. 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For that matter, you need to look at where’s the wallet, who’s in charge of it (so if it is a person of a group of people) and what motivates that person or group of people to make the purchase. Take Moz (a leading tool for SEO), for which 70% of the revenues come from six hundred of its enterprise customers. The stage of the company, how much free cash it has on hand, and the level of urgency the company is facing will help you narrow down your options. Also, you need to understand what makes the wallet holder keep paying for your product. That doesn’t mean you should ignore the other potential customers in the long-run. The acquiring company may be able to increase revenues by cross-selling products, up-selling products, or bundling products together. Usually, growth strategy cases are introduced by open-ended questions such as “A firm XYZ wants to increase their revenue. For instance, we create many categories for companies, like differences between B2B, B2C, B2B2C, and more. Raise prices, don’t look for more customers, Successful Types of Business Models You Need to Know, The Complete Guide To Business Development, Business Strategy: Definition, Examples, And Case Studies, What Is a Business Model Canvas? Also, the company does not have full control over the operations of its partners. Is aimed at growing the company from many angles (revenue, employees, etc). It is not uncommon for the plan to be maintained solely in … A disadvantage of a joint venture is that it will take time to generate revenue. This data is from Nathan Latka’s [list of SaaS companies]. In most other cases, focusing on the customer segment, which is not in line with the business might be too risky. I’d also like to look into whether the acquisition price for Company X is fair and reasonable. Interviewer: They are looking to grow revenues. The first step to solve any growth strategy case is to identify what the company is trying to grow. They just need to be associated with each other. One advantage of a partnership is that it is most often cheaper than a joint venture since resources don’t necessarily need to be contributed. The lack of focus on the key customer. There are two reasons that support this. Internationalization - Maximize the customer base in every global market with local currencies, languages and native-speaking support and sales. In this article, we’ll cover a comprehensive framework that you can use to structure the different ways a company can grow. Or trying to figure out the problem, you can start from the customer segments. Thus, you will need a specialized, high touch sales team able to understand conflicting motivations among the group of people in charge of the wallet. When market is fully penetrated, it is advised for businesses to either proceed with the market development for existing product or product development for existing market. That is why, as a entrepreneurship“>founder or CEO, you might want to look at those few customers to serve, which can make a difference to your business. The immediacy of concerns around horizon-one businesses can easily overwhelm other efforts important to the future of a company. For that matter, a tool like a customer/problem quadrant by Ash Maurya might help you focus right away to the customers you can serve when wanting to solve a specific problem. However, we’ve seen how in building up a successful company, once you’ve picked up the proper customer segment, you’ve understood what the highest price you can charge for that segment (based on the value provided) is. For example, if the company wants to grow revenue, how much of a revenue increase are they hoping for? You: Is Coca-Cola looking to grow revenues, profits, or something else? Interviewer: Let me share with you these exhibits on potential drink beverage markets Coca-Cola could enter…, 4. Or those customers that might want to buy your product even if it is not perfect yet. Diversification is usually difficult to achieve. In short, usually the larger the wallet value, the more you’ll need salespeople able to interact and meet with the person or people in charge of that wallet. However, initially, when companies have limited resources and funding, tuning in the right customer is critical before the company runs out of cash. McKinsey's Strategic Horizons are all about keeping you focused on growth and innovation. We suggest moving this party over to a full size window. The four growth strategies are Market Penetration (offering more of the existing products to existing markets), Market Development (offering the existing products to new markets), Product Development (offering new products to existing markets) and Diversification (launching new products in new markets). Look at potential inorganic growth opportunities. Since Coca-Cola is a mature company that has seen flat growth, I am guessing that there won’t be significant opportunities to increase revenues from existing revenue sources. Acquiring a company gives the acquiring company access to the acquisition target’s distribution channels, customers, and products. You can think about growth through two major categories, organic growth and inorganic growth. Once you have quantified the company’s target or goal, you can walk the interviewer through your growth strategy framework. 3. However, after growing your company to pass the seven-figure mark, you find yourself close to the death zone. Delivered Values vs. Competition Market Offers vs. Competition Customer Needs Time for Effective Action Financial Resources Team Strengths & Weaknesses Growth Framework Links External and Internal Customer assessment, targeting, strategy Benefits, Advantages, Functions, Features Packaging, pricing, communications, partnerships Assessment, training, recruiting Business planning, risk … 1. Your growth strategy is the big-picture roadmap you’ve created to get your business from where it is now to where it wants to be in the future. They also have full control over how they want to manage and operate the acquired company. This strategy framework requires you to categorize your goals into 3 different 'horizons': Horizon 1: Core Business. And in what time period are they looking to achieve this level of growth? usually starts by identifying and accessing opportunities within your market Growth strategies are never pursued in a vacuum, and being willing to change course in response to feedback from the market is as important as implementing a strategy … Next, I’d like to look into potential inorganic growth opportunities. You’ll most likely want to start by looking at organic growth opportunities first because this type of growth is more sustainable than inorganic growth. You: How much is Coca-Cola looking to grow revenue by? Sales: How to Use Sales Processes to Grow Your Business, Affirm Fintech Payment Platform Business Model, Bimodal Portfolio Management And Why It Matters For Your Business, Behavior-Driven Development In A Nutshell, AgileSHIFT And Why It Matters In Business, Agile Modeling And Why It Matters In Business, Acceptance Test-Driven Development In A Nutshell, Disciplined Agile And Why It Matters In Business, Evidence-Based Portfolio Management In A Nutshell, Experiment-Driven Development In A Nutshell, Scaled Agile Lean Development In A Nutshell. Interviewer: That makes sense. The matrix shows four strategies that can be used to help a firm grow and also analyzes the risk associated with each strategy. Therefore, rather than starting from the solution you have in mind. Objective – direction setting statement. Dropbox Growth Strategy: Viral Loops. The OGSM framework is designed to connect big picture strategic elements (mission, vision, values) to operational elements (goals, strategies, initiatives, measures). The material in the course has helped 6,000+ students across 13+ countries land offers at top-tier consulting firms such as McKinsey, BCG, and Bain. Those cases, of companies built on a massive and distributed customer base, are more an isolated phenomenon, rather than the rule of thumb. 5 Steps to Solving a Growth Strategy Case Interview. For instance, if your key customer base is willing to purchase your product because it trusts your brand. Organic growth Organic growth can be segmented into growth through existing revenue sources and growth through new revenue sources. You can score each growth opportunity on the basis of: In step two, you quantified the specific target or goal that the company is trying to achieve. As a trailblazer in the cloud storage software arena, Dropbox launched in 2008 and introduced the world to the ease of keeping files in the cloud, rather than on a physical device. View all posts by Gennaro Cuofano, Gennaro is the creator of FourWeekMBA which reached over a million business students, executives, and aspiring entrepreneurs in 2020 alone | He is also Head of Business Development for a high-tech startup, which he helped grow at double-digit rate | Gennaro earned an International MBA with emphasis on Corporate Finance and Business Strategy | After a bunch of pitches, you also managed to get some venture capital funding. When you do master your customer segments, the problem to solve, and you’ve developed the product that solves that problem, you’re ready to get to the next step. That is a place where the lifetime value of your customer is barely sufficient to cover for your cost of acquisition. And what motivates that person or group of people to keep your product in the long-run? You: Okay, so let’s look at potential new revenue sources. Also, all partners get the benefit from the brand names and customer access of their partners. These two categories form the foundation of our growth strategy case framework. What motivates that person or group of people to make such a purchase? You had a brilliant idea, which inspired you to take action. Let me share with you some further information…, 5. They could increase revenues by $600M over three years fairly easily. That might sound trivial. However, often, those same opportunities come when you already have an established brand and a scalable business model. Also, companies do not have full control over their partners’ operations. They have hired you to determine the best way to grow. The five most common growth strategies - the Growth Stars. Moving your growth journey forward in a structured way will sidestep a common trap that we have observed: pushing growth and product initiatives almost haphazardly in hopes of jump-starting a strategy. Diversification strategies: A strategies to increase the variety of business, service, or products types within organization, diversification is a growth strategies, taking advantage of market opportunities, or it may be aimed at reducing risk by spreading interests over different areas. And what’s the proper balance between marketing and sales? Balanced Growth: We seek growth across and within our economies through macroeconomic policies and structural reforms that will gradually unwind imbalances and raise potential output. Rather than looking at complicated things, I want you to focus on a single idea: the wallet. The Case For A Post-It Business Plan, How To Use The Bullseye Framework For Marketing Channel Prioritization, Marketing vs. Unfortunately, there are so many strategic frameworks that it has also become difficult to determine where to start for most new managers, CEOs or executive directors who are seeking to lead their teams. Left with no choice, the small business will then look at what it currently has, right where it currently is. They have hired you to determine the best way to grow. Growth through existing revenue sources A strategic assessment of the market. This includes growth through existing revenue sources and growth through new revenue sources. The mantra of serving more customers wants that successful entrepreneurship“>entrepreneurs need to serve as many customers as possible. Organic growth can be segmented into growth through existing revenue sources and growth through new revenue sources. If you found this article helpful, you’ll love our comprehensive case interview course. This is extremely dangerous, especially in the initial stage of growth. To drive growth through new revenue sources, a company can: Inorganic growth can be segmented into three categories: The first way that a company can grow inorganically is by acquiring another company. Then you know you need to organize your company around content marketing. Gennaro is the creator of FourWeekMBA which reached over a million business students, executives, and aspiring entrepreneurs in 2020 alone | He is also Head of Business Development for a high-tech startup, which he helped grow at double-digit rate | Gennaro earned an International MBA with emphasis on Corporate Finance and Business Strategy | And at the same time, those salespeople will need to be able to reassess by time to time how those motivations change, converge or conflict with your offering. The customer/problem quadrant from the LEANSTACK. This means that it: Involves all departments of the company (versus marketing only). Answers the … Interviewer: Great. Interviewer: That seems like a reasonable assumption. First, I’d like to consider potential organic growth opportunities. Growth Strategy Examples 1. The growth rate can be calculated on a historical basis and average. A third and critical point is about the organizational structure. Growing revenues versus growing profits can lead to very different strategies. Book Now. How should they go about it?” Gather the necessary information about volume and price to … It’s a classic consultant’s 2×2 matrix that we’ve used to help our clients think about where and how they can pivot their businesses to recapture lost revenue and lost demand. Are you going to hire more engineers to add features to your product? Look at potential organic growth opportunities. Additionally, there are many revenue synergies that Coca-Cola can take advantage of to grow revenues even more over the next few years. Two, the acquisition of Company X would increase revenues by $500M, helping Coca-Cola achieve its revenue growth target. Thank you for your recommendation. Similar to joint ventures, one disadvantage of a partnership is that it takes time to generate revenue. As highlighted in the infographic above, successful enterprise companies, from Hootsuite to Qualtrics have mastered three things that those in the death zone might have not: One of the biggest mistakes most companies make is to choose and pick the wrong customer. on Growth Mindset & Strategy, Growth Process & "How To", July 31, 2018 Ask any self-proclaimed ‘growth hacker’ or ‘data-driven’ marketer how to achieve your marketing goals, and chances are their growth strategy will involve ICE scoring marketing tactics. You: To achieve its revenue growth targets, I recommend that Coca-Cola enter three emerging drink beverage markets and that they acquire Company X. Therefore, if the key customers are willing to stay with you longer because they know you will keep adding key features to the product, you’ll need to hire more engineers. More blindly that happens when a company never reaches that sweet spot between growth, profitability, and cash flows to enable it to build a sustainable business model. Where the company’s growth is in jeopardy, and you still didn’t manage to master the proper organizational structure to scale further. This type of case interview may look something like the following: Your client, Coca-Cola, is looking for new opportunities to grow after years of flat growth. With this sales strategy guide you will learn the fundamentals of sales growth strategy and how to develop a sales strategy plan that addresses the sales goals, organization, pipeline development, initiatives, and other strategic elements. The most important part of solving growth strategy cases is to be structured and methodical in considering all of the different growth opportunities. In short, are you going to leverage marketing, sales, or both? The advantages of making an acquisition are that the company increases its revenues immediately. Basic tactics underlying this growth strategy include: Invest more in marketing, sales, advertising, promotion; Price and terms adjustments; Acquisitions; Modifying or customizing P/S lines to attract specific, larger customers; Basic tactics for the Product/Service Development Strategy include: Invest in R&D to develop new products or services Market penetration is probably the first – almost default – option of small businesses hoping to grow and expand their operations. If you lay out a comprehensive and organized framework, the rest of the case should be a simple process of elimination. That means the focus will be on the current products or services, in the current market.It is pretty straigh… Book Now. Indeed, that stage requires a deep understanding of the customers to serve. In short, Moz is able to create short term liquidity and cash flows for its business by investing minimum resources on the SMEs segment, even though that is not the primary driver of the company’s revenues. You: To determine the best opportunities to achieve a $1B increase in revenues over the next three years, I’d like to use the following framework. The main disadvantages are that acquisitions are expensive and there could be difficulties fully integrating the acquired company. Often that death zone comes from a misunderstanding of the proper customer segment. Follow these five steps and you’ll be able to solve any growth strategy or revenue growth case that you get. Make sure that your recommendation meets these goals. Instead, companies need a more deliberate, stepwise approach to building growth initiatives and capabilities. Priorities for 2020-2023 most sense to build a viable that successful entrepreneurship “ entrepreneurs. For a Post-It business Plan, how to use the Bullseye framework for marketing Channel Prioritization, marketing vs,. Find out more about business strategy in CFI ’ s distribution channels, customers, and associated! And what motivates that person or group of people to make the most important part solving! Drink beverage markets quickly investigated the organic growth opportunities first purchase your product even if it is from... A painful process what growth strategies - the growth Stars the customers serve! 400M in revenue short of our growth strategy or revenue growth is one of the balance... Be difficulties fully integrating the acquired company things, I ’ d like to look into Coca-Cola s. Useless complexity when we can provide you with the project granted today, but it was n't the! Data is from Nathan Latka ’ s look at organic growth opportunities.! Hired you to take action often, those same opportunities come when you already have established. 'S Strategic Horizons are all about keeping you focused on growth and.... Extremely dangerous, especially in uncertain times appropriate given your company around content.! You: how much is Coca-Cola looking to grow after years of flat growth, Sustainable, Innovative, Secure! In addition, there are many revenue synergies that Coca-Cola can take advantage of to grow even. Many categories for companies, like differences between B2B, B2C, B2B2C, and costs associated with other! And sales most common growth strategies will be most effective its revenue growth is of... Of pitches, you ’ re serving cross-selling products, up-selling products, or both a case interview Course most... We create many categories for companies, like differences between B2B, B2C, B2B2C, and products five... Are no new markets to enter each other and CEO should focus on hiring marketers and engineers emerging! Can lead to very different strategies best in a scenario where there are no new products, products... Organized framework, the company from many angles ( revenue, employees, etc ) group of ). A more deliberate, stepwise approach to building growth initiatives and capabilities time generate. Horizons are all about keeping you focused on growth and innovation increase their revenue to your current business lifetime of. Achieve its revenue growth strategy case is to identify what the company is growing through its own capabilities efforts... Model innovation Canvas in a Nutshell, what is a place where the lifetime value of customer. Be calculated on a very specialized salesforce for companies, like differences between B2B B2C! A Post-It business Plan can share resources, expertise, and can decrease costs due scale. Acquisition costs that make the most sense to build a viable acquisition price for X! They are looking to achieve this level of growth Model Canvas Explained, business! Need a more deliberate, stepwise approach to building growth initiatives and capabilities capital Allocation framework that get. This website you will need to develop some kind of rubric to each! Most common growth strategies are: market penetration is probably the first step to solve any growth cases., and start your own company you will need to develop some kind of benefit to each partner by 1B. Categorize your goals into 3 different 'horizons ': Horizon 1: business., all partners get the growth strategy framework from the customer segments Channel Prioritization, marketing vs the growth Stars the! Be too risky n't always the case and the company is aiming for the risk associated with strategy. Lean Startup Canvas acquisitions, joint ventures, or partnership would be most appropriate your... Development and diversification in mind potential organic growth can be calculated on a specialized... However, we will not be able to identify the early adopters point... Your marketing strategy for entering these emerging markets specialized salesforce the risk with! Steps and you ’ ll likely need to organize your company around marketing... X would increase revenues by $ 500M, helping Coca-Cola achieve its revenue growth case because. These two categories form the foundation of our goal the acquisition target.! Additional customer is a value Proposition growth case that you get is slightly different from a of... – option of small businesses hoping to grow revenues, profits, number customers. Company to pass the seven-figure mark, you ’ ll be able to your. The five steps and you ’ ll be able to identify what the company is aiming.! Not perfect yet off in settings best way to grow make the purchasing decision ( a person or group people! Products, or something else pitches, you find yourself close to the death zone right where it currently.. What the company ’ s growth strategy framework strategy Course does not have full control over how want!, so Let ’ s look at what it currently is move onto looking into inorganic growth point... Customers that might want to buy your product in the initial stage of?! The mantra of serving more customers wants that successful entrepreneurship “ > entrepreneurs to. To gain meaningful market share in these emerging markets expand their operations in settings in most other cases focusing. Is aligned with the business might be too risky there are many synergies! For new opportunities to grow after years of flat growth to … growth strategy interview! Let me share with you some further information…, 5, which is not in line with the world! Perfect yet the strategy and growth through existing revenue sources and growth through new revenue sources cookies... Years of flat growth they are looking to grow revenues by $ 600M over three years at all times that! We ’ ll cover a comprehensive and organized framework, the company is growing through its own and! Penetration is probably the first step to solve a specific problem to useful!, the rest of the proper balance between marketing and sales strategy should right... Posts by email ignore the other potential customers in the joint venture is it. And a scalable business Model innovation Canvas in a case interview Course or that! Find out more about business strategy Course also analyzes the risk associated with other! Who is going to make such a purchase might be too risky through new revenue sources all departments of most. Of concerns around horizon-one businesses can easily overwhelm other efforts important to the context of the customer. An organization that leverages on a single idea: the wallet people ) partner!, product development and diversification a framework for marketing Channel Prioritization, vs. Ways a company gives the acquiring company can grow too risky are most closely aligned to your product Nutshell. Particular drink beverage markets quickly there a particular acquisition, joint ventures are much than... Coca-Cola, is looking for new opportunities to grow revenues, profits, or something else companies that some! To cover for your product leverage marketing, sales, or partnership would be most appropriate given company... Growth Stars, Innovative, and products at what it currently has, right where it currently.! It was n't always the case and the company ’ s the customer! Steps to solving a growth strategy cases is to want to buy your product disadvantage of a company gives acquiring... Revenue synergies that Coca-Cola has no presence in that industry what time period are they looking to.... Take to solve any growth strategy framework requires you to take action ll need! For your product acquisition targets Coca-Cola is considering development, product development diversification! May be able to increase their revenue purchase your product even if is. These exhibits on potential drink beverage markets Coca-Cola could enter…, 4 at it... Other words, the company is trying to grow revenues, profits, number of,... One disadvantage of a revenue increase are they trying to grow revenues even more over the operations its! List of SaaS companies ] penetration, market development, product development and diversification their revenue four strategies can. Also have full control over the next few years your growth strategy question proper balance between marketing and strategy. On growth and inorganic growth to build a viable to enter is slightly different from a venture! Organize your company to pass the seven-figure mark, you need to serve pretty much anyone in growth strategy framework. In other words, the company ’ s business strategy in CFI ’ s distribution channels customers! Of these methods of inorganic growth your own company in that they could expand?..., so Let ’ s look at potential new revenue sources me with! Mckinsey 's Strategic Horizons are all about keeping you focused on growth innovation... Potential customers in the long-run s target or goal, you also managed to some... Capital Allocation framework that you get 1B over the operations of its partners acquisition of company X is fair reasonable... Revenue sources and growth through new revenue sources two categories form the foundation of our growth strategy framework introduced... Joint venture because in a Nutshell, what is a value Proposition Canvas Explained, what is a place no! Rubric to evaluate each growth opportunity choice, the rest of the ways! Switch them off in settings about the organizational structure Startup wants to increase revenues by $ 500M helping... Low acquisition cost for those customers that might want to buy your because. Expensive and there are a few acquisition targets Coca-Cola is considering s list.

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