Navigating the Development of Enterprise Life Cycle

Each company to pass through four stages of development: new growth, maturity and decline. Stages of a wide range of Chasm between them, and swimming is not necessarily linear. Step by step and enhanced mobile way of life and business. Most new businesses start as small "de novo" firms. But some rapidly growing firms are incubated in large firms, and benefit from their resources and capabilities. Before leaving, the company will have grown into medium and large businesses from a single entity with one product and / or service line, diversified offerings, the conglomerates with multiple stakeholders and business units in many different industries. Diversified businesses leverage the resources across the lines and nodes, whereas conglomerates profit intimate.

The definitions of small, medium and large enterprises vary depending on the context, and are usually based on the number of employees, levels of earnings or capitalization. Most businesses fit the "small" definition. Many small businesses do not have the staff, because they are owner-operated sole proprietorships, partnerships or limited liability companies. However, owner-managed corporate officers are employees if they are paid salaries. Thus, companies are also classified as an employer and nonemployer firms.

Corporate failure rate is high - much to migrate directly from any growth or decline phases of growth with little to no possibility of recovery. In addition to tough economic times, even in mature businesses struggle, especially when a paradigm change on the assumptions, concepts, methods, and values. Reasons for failure include lack of capital and enterpriship (entrepreneurship, leadership and management) competencies. Focusing on short-term operations in defiance of long-term marketing initiatives is a common complaint.

Growing entrepreneurial companies need to turn innovation into value. The founders and owners could face major career changes in order to realize the goal as a company to offer products and / or services or the companies themselves, or because they want to do something else in life.

Agenda for a growing company address changes caused by new innovative products and / or services, or for creating new markets or new or existing value proposition. Growing businesses should seek to earn income as soon as opportunities permit.

Growth company made the transition to devote more effort to sales and production performance. The growth the company has an entrepreneurial, leadership and management thinking. It must maintain the entrepreneurial start-ups. It requires leadership thinking to communicate company strategy - and the industry's goal position and posture. It requires a mindset in the management process and procedure, otherwise chaos will result. Aspirational statements include the values, mission, vision and value proposition. It should be noted, both the mission and vision, as it is important that all counties to understand its purpose and direction.

The growth agenda will address the company is looking for more income generating opportunities, and it will be under pressure to make a profit. This should address the growing emerging markets, with specific product and / or service lines, as well as increase the rate at which revenues are earned through a series of proposals. To do this requires a relationship between thinking - to extend the current activities of the customer with additional products and / or services, and deepen their use of the existing proposals.