The Four Stages of Growth a Business Might Experience: Characteristics of
The Four Stages of Growth a Business Might Experience: Characteristics of each Stage Dannisha Thompson Basics of Business Professor Alex Lazo
February 25, 2012 The Four Stages of Growth a Business Might Experience:
Characteristics of each Stage Every business goes through stages. Some of these stages show the different transition periods a business might go through. There are different terms for these stages; there is not a standard title for these stages but they all show a business growth cycle.
These stages are the nascent stage, the second stage is the organizational growth, and then there is the maturity stage and lastly the take off stage.
Each of these stages a business might experience. The Nascent stage is when the business is coming into existence also known as the startup stage. The owner is trying to put the business on the market hoping to pull in the best customers or even investors. The owner does all of the work in this stage. This stage can also be a breaking point for the business as well.
There will be a lot of resources needed and there will not be as much money coming in as much that will be going out. Once making it through the startup stage, the business will then move on to the organizational growth stage. In the Organizational growth stage is where the business grows by hiring more employees. Anything to do with Human Resources it is more coming together in this stage having more There will be more production, more sales and more profits. According to the research from (Neil C.
Churchill, 1983), “In reaching this stage, the business has demonstrated that it is a workable entity…the enterprise may have grown into size and profitability and move on to stage III” (p. 4). After hiring and doing more supervising the company is now ready for a more established management team and a more developed marketing. This stage is the maturity stage. The owner’s responsibility has now decreased to set up for the next stage of
the
February 25, 2012 The Four Stages of Growth a Business Might Experience:
Characteristics of each Stage Every business goes through stages. Some of these stages show the different transition periods a business might go through. There are different terms for these stages; there is not a standard title for these stages but they all show a business growth cycle.
These stages are the nascent stage, the second stage is the organizational growth, and then there is the maturity stage and lastly the take off stage.
Each of these stages a business might experience. The Nascent stage is when the business is coming into existence also known as the startup stage. The owner is trying to put the business on the market hoping to pull in the best customers or even investors. The owner does all of the work in this stage. This stage can also be a breaking point for the business as well.
There will be a lot of resources needed and there will not be as much money coming in as much that will be going out. Once making it through the startup stage, the business will then move on to the organizational growth stage. In the Organizational growth stage is where the business grows by hiring more employees. Anything to do with Human Resources it is more coming together in this stage having more There will be more production, more sales and more profits. According to the research from (Neil C.
Churchill, 1983), “In reaching this stage, the business has demonstrated that it is a workable entity…the enterprise may have grown into size and profitability and move on to stage III” (p. 4). After hiring and doing more supervising the company is now ready for a more established management team and a more developed marketing. This stage is the maturity stage. The owner’s responsibility has now decreased to set up for the next stage of
the
References: Maurer, J. G. (2012). Organizational Life Cycle. Retrieved February 24, 2012, from Reference for Business; Encyclopedia of Business, 2nd ed.: http:/www.referenceforbusiness.com/encyclopedia/Oli-Per/Organizational-Life -Cycle.html Neil C. Churchill, V. L. (1983, May-June). Five Stages of Small Business Growth. Retrieved February 24, 2012, from Harvard Business Review: http://www.tameer.org.pk/images/The_Five_Stages_Of_Small_Business_Growth.pd f