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Growth and the Lens of Company Definition

“It is not the strongest of the species that survives,
not the most intelligent that survives. It is the
one that is the most adaptable to change.” 

― Charles Darwin 


Growth is the essential element for creating shareholder value. Initiatives associated with growing revenue drive more value than any other action. Growth is more important than cost structures or margins. It is better to get revenues up than costs down. Higher growth drives a greater market capitalization and is the key predictor of success over the long term.

Every business needs a strategic plan that includes new avenues for growth. Our strategy is to recalibrate your company definition, reframe your knowledge space and identify new growth opportunities. 

The Lens of Company Definition

A business exists to serve its customers. In essence, a company is a pipeline that provides goods and services to its customers within a knowledge space. Therefore, the company should be defined by its customers, not by its products or services. Specifically, a company should be defined by the problems that it solves for its customers.

A company’s definition sets the boundaries of what it can achieve. How a firm defines itself can either limit or broaden the way that it perceives its markets, its customers as well as new growth possibilities. Company definition also provides a viewpoint for determining the strategic fit of potential acquisitions.

Reframe Your Knowledge Space

A knowledge space is the area around which a company has expertise, credibility and knowledge. In addition to its skill set, the company has knowledge about customer needs, problems and solutions. Customers develop trust for the company within this knowledge space. 

Many technology companies consider their knowledge space too narrowly; thus, the road to growth is too narrow. Many firms should re-evaluate their knowledge space in order to broaden it and open up the company to new kinds of growth opportunities. 

Rethink your Business Model

A business model describes how a company creates and delivers value for its customers. It defines the value proposition and describes how the company organizes itself in order to produce value.

New technologies produce new products and services—and they change the way that products and services are delivered. As a result, the nature of the market changes. When markets change, companies must adjust their business models. Changing a business model means delivering value in new and different ways. It means rethinking the value proposition. It means that the company needs to modify the way that it organizes itself.

Growth Strategy Proposal

We offer clients a two-phase project to increase your growth and improve shareholder value. 

  1. The first phase recalibrates the company definition and expands the scope of your knowledge space. As part of recalibrating the definition, we address several important questions—Why does your business exist? How do you define your market? How do you define your customer set? And most importantly—what problems should you solve for your customers in the future?
  2. The second phase identifies new services and product lines to add, niche markets to enter, and complementary businesses to acquire. 

Our methodology includes both a targeted search and an opportunistic exploration. The targeted search seeks product lines and companies with specific strengths. The opportunistic course of action is an exploration. We explore adjacent markets. Who are the players there? What needs are they solving for their customers? How do these needs and solutions intersect with your company? 

Acquisitions can help your company establish beachheads in niche markets, acquire new capabilities, new talent and new customers. These are typically small acquisitions—less than $30 million—that are easier to transact. 

Our objective is to present clients with a number of growth opportunities. These opportunities could include additional product lines, value-added services or strategic acquisitions.


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