FOCUS ON BUSINESS CONFIGURATION - Jeremy gray

Jeremy Gray - “Practical Solutions to Difficult Problems”

IBGR.Network – Profit Radio. Everything a business owner needs to start, grow or exit a business. Grow With Us.

Show Objectives – The Why
Congratulations you have built a successful business – gross margins are good for your industry, expenses are well managed and EBIT provides a good return on your investment. But your growth rate has stalled out, your business is not growing as fast as you would like, you are dissatisfied. You want this to change but how? 
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Do you follow your existing path adding resources to boost growth? O do you pivot your business to find business improvement in new markets?

Key Issues – The Owners Perspective:

• What growth rate do I want to achieve? Is this realistic given my company's stage of maturity?
• Do I find new customers for my products? Or do I find new products for my customers?
• If I decide to grow via customer acquisition what resources do I need? Do I expand into new geographic markets?  Do I need to change my incentive programs? 
• If I chose the new product route how do I learn about my customer’s unmet needs? Do they know their unmet needs? Will our unique value proposition survive the change? Or do I need to re-invent my business model?

What you need to know – The What?

• Why has my growth rate slowed?

• How do I assess the potential for growth in my existing markets?
• What are the opportunities in new geographical markets?
• How do I learn about my customers' unmet needs? 
• How do I find new products for my customers?
• What pitfalls should I be aware of?
• What constraints are there to developing new products?

What you need to do – The How?

• Strategy is about choices – evaluate the options
• Compare the existing model with the new model. 
• Is it possible to follow both paths? 
• How do I communicate this change to my customers?
• How does this impact my organizational structure?
• If I am pivoting to a new business – how do I exit my existing business.

Useful Link:
https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/the-big-boost-how-incumbents-successfully-scale-their-new-businesses?cid=eml-app

At IBGR we are dedicated to helping you grow your business. If you have any questions on this topic please do not hesitate to contact me at jeremy@business-in-asia.org


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