Competitive Governance

The High Growth Enterprise

A consumer centric business

A consumer centric business understands that most markets have room for growth. 

Identifying different sub-categories within a market segment can often lead to creating more specialized products and services that cater to more specific needs of a larger segment of consumers.

For example multiple sports activities create unique opportunities for shoe manufacturers to design foot wear for individual sporting needs.

The more you are able to commercialize on customizing to the varied needs and taste of consumers the greater will be your market share. 

A good business vision is one that is specific enough to inspire practical and profitable action while being broad enough to encourage market growth.

Consider carefully the various market consolidation and expansion options.

Widen your Geographical Market Base

All business is local. However, all markets are global. Global trade and technology has created opportunities for business to serve an existing market segment over a wider geographical area. 

Today pizza has become a global meal option. It is no longer confined to pizza lovers in Italy. While North Americans may be forgiven for considering it a local meal, the fact remains that the love affair with pizza is worldwide.

Market expansion in such a case is only limited to a business owner’s desire as to whether to expand into a wider area of coverage. Serving a local or global market is a matter of ambition.

A business that chooses to serve a defined local market can withstand challenges from global competitors through leveraging on their local knowledge of consumer buying psychology.      

Widen your Market Segment

We humans enjoy being identified by social group characteristics while at the same time craving for the ability to express our own distinct individuality. This can be translated into a business plan to reach out to as wide a segment of the consumer community.

For instance, a cola company need not just sell cola drinks. It can say it is  in the drinks business. This would encourage the natural synergy for expanding into providing a range of drinks from hot beverages to soda pop and water.

If the cola company says it is in the food business, the natural thing to do is to serve food with the drinks.  Cola and burger or coffee and muffins have become natural fits through marketing design.

  

Deepen your Market Penetration

A shoe shop that caters to as wide a segment of the footwear market makes sense. However, the alternative is to adopt a market penetration strategy that means providing existing consumers with an added variety of products and services.

A shoe manufacturer may increase its variety of offerings to include clothing related to the specific shoe segment. Basketball players need more than just shoes designed for the game. They need the clothing, game equipment and all the necessary accessories. There is business beyond shoes.

Redefine your Market for High Growth

The lesson we learn is markets are seldom fully penetrated. The mindset of high growth businesses is, essentially to redefine the market segment to 10% of the market share each time you reach a point of coming close to 50% percent share of the existing defined market segment.

A market segment exists so long as the identified market is sufficient to provide the expected profit. 

A High Growth Business Culture

To attain a pattern of continual high growth, a business must develop a mindset for high growth that energizes business activity across the organization. This energy should drive the individuals serving the organization to give their best in all they do.

There should be a culture of open communication that continually provides feedback that is channeled all the way to the top leadership.

The feedback should be analyzed for ideas on how to better serve the existing market segment and how to redefine the market to create a bigger market segment.

Consult To Identify Growth Opportunities. 

It is a challenge to both run a business and engage in studying feedback from the market to spot the evolutions in the market. 

Being too fast to change can mean not sufficiently exploiting the existing defined market. Too slow to change can mean becoming obsolete or irrelevant in an evolving market. 

Nobody would have wanted to have been the last typewriter company in a world dominated by personal computers. 

Spotting changes in the market requires an objective analysis of feedback from consumers, the industry, your team members and creators of new technology.

An outside consultant sitting in with your team can more effectively ask seemingly unrelated questions that lead to deeper insights on the next best course of action for continual high growth.

Like a coach in a game, the consultant can help your star players attain that edge needed to continue being profitable.

Siddha Param
International Business Consultant
Winnipeg, Manitoba, Canada

WorldwideBusinessConnection.com

All business is local. All markets are global.

http://ca.linkedin.com/in/siddhaparam

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Competitive Governance

Sustaining High Growth In Business

A success formula for today’s leaders

A gazelle has to outrun a lion every day in order to keep ahead and stay alive.

The ability for gazelles to run high speeds requires health, agility and stamina. These are characteristics shared by high growth businesses.

   

High growth businesses target rapid increases in revenue over consecutive years often doubling in revenue every 4 years. They tend to be small and medium sized enterprises. These gazelle businesses are the biggest job creators in North America.

Gazelle Businesses:

1. Know how to utilize the right resources, both people and finances.

2. Know how to differentiate themselves from their competitors.

3. Understand the route to the most profitable markets.

Gazelle businesses have a higher chance of continual success compared to other small and medium size businesses.

At the leadership level gazelle businesses seek out professional advice from experts in finance, production, customer relations and competitive governance. The advice on these facets of business is integrated into a strategic plan.

The plan is expressed to stakeholders through leadership vision, management mission and organizational goals. The aim is to ignite stakeholder passion by setting out a long term direction for the business coupled with achievable milestone goals and targets.  

At the operational level gazelle businesses are able to infect employees with the founder’s passion to excel and sustain high performance in executing work functions.

Passion builds self-esteem and energizes the employees to strive towards achieving set targets.

When targets are hit, everyone from the top leadership all the way down to the rank and file staff experience a sense of self-achievement. A high esprit de corps permeates the work teams. 

Gazelle businesses focus on competitiveness. Financial investment in good governance practices, human resources training and market development is done. This investment is key to ensuring high growth. 

Gazelle businesses succeed even under extremely adverse economic conditions.

Seek the expert consulting advise necessary to lead a gazelle business. 

Siddha Param
International Business Consultant
Winnipeg, Manitoba, Canada

WorldwideBusinessConnection.com

All business is local. All markets are global.

http://ca.linkedin.com/in/siddhaparam

https://twitter.com/siddhaparam

https://www.facebook.com/siddha.param

http://www.youtube.com/siddhanet  

Competitive Governance

COMPETITIVE BUSINESS GOVERNANCE

Positioning Business to Seize Opportunities    

Competitive Business Governance helps business leaders and managers to focus and build on the inherent strengths of their business. This leads to consolidation within existing markets with the added ability to seize opportunities in new markets. 

Re-evaluating the core business and identifying the true competitive strengths within the organization is critical. To do this requires a fresh perspective best achieved with an out-side consultant sitting in with the top leadership and management team. This leads to a more holistic view of the organizations inherent strengths and weaknesses. 

Begin by asking the consultant to help the leadership, management team and key personnel to identify preliminary issues that need to be addressed. Once a preliminary assessment has been made the parameters of the consulting exercise can be defined.    

The consultant can work with the leadership and senior management to:

1. Evaluate the strengths and weaknesses of the existing business plan and strategic goals to determine the effectiveness of the business strategy.

2. Evaluate the degree of alignment of management practices with the business strategy

3. Identify growth capabilities in reference to:

3.1. Consolidating existing business within existing markets;

3.2. Expanding existing business into new markets;

3.3. Developing new areas of business within existing markets;

3.4. Developing new areas of business for new markets;

4. Evaluate existing human resource capabilities.

5. Map out existing formal business collaboration structures, networks and channels.

6. Map out existing informal business collaboration structures, networks and channels.

7. Utilize the information to help leaders and managers to govern, lead and manage more effectively. 

Global business realities are compelling business to undertake this critical re-evaluation exercise. This exercise consolidates competitiveness in existing markets and positions businesses to seize emerging business opportunities.

Siddha Param
International Business Consultant
Winnipeg, Manitoba, Canada

WorldwideBusinessConnection.com

All business is local. All markets are global.

http://ca.linkedin.com/in/siddhaparam

https://twitter.com/siddhaparam

https://www.facebook.com/siddha.param

http://www.youtube.com/siddhanet  

Competitive Governance

Sustaining Performance & Profit

Creating value for stakeholders

                                   

The corporation is a vehicle designed 

by business leaders and created 

by law for global trade!

The moment we incorporate a limited liability company we create a separate legal personality with the potential for immortality.

The secret to sustaining this immortality is to develop a governance strategy and prepare a business plan that gives maximum returns to stakeholders in the business. This adds value and leads to maximum long term profits for investing shareholders.

The corporation in its most simplistic form has a board of directors and shareholders who meet in general meeting. The directors are responsible for directing the business of the company. The shareholders are investors who provide capital to finance the business. Profits from the business can be allocated for re-investment into the business or paid out as dividends to shareholders as a return on their investment.

The expression, “maximum profits for the shareholder” does not capture the reality of how business is run and profits are realized in a sustainable manner.

In the real world a corporation that aims to profit from delivering goods and/or services to customers in return for a price needs stakeholders. These include financiers, suppliers, executives, managers and employees/agents to carry-out operations that deliver to paying customers.

Investing in communities, the environment and customers as stakeholders can further increase profits.

In order to ensure stakeholders perform productively, corporations should adopt the slogan, “maximum profit for the stakeholders”. This can be achieved through a competitive governance strategy developed with in-put from directors, executives, managers, key personnel and outside consultants who provide objective expert advice.   

The resulting, “Competitive Governance Strategy” will promote long term financial performance that adds value and increases profits.

   

Siddha Param     

International Business Consultant

Winnipeg, Manitoba, Canada

www.WorldwideBusinessConnection.com 




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