1. BZUPAGES.COM Strategies For Growth & Managing The Implications Of Growth Book by Shepherd Hisrich,Peters Chap # 13 Presented To: Sir Ghulam Abbas

2. BZUPAGES.COM Roll # 07-08 BSIT 7th

3. BZUPAGES.COM A Successful new entry provides the opportunity for Entrepreneur to grow his business. A Successful new entry provides the opportunity for Entrepreneur to grow his business. Opportunities for new entry are generated by the knowledge of entrepreneur and from organizational knowledge. Opportunities for new entry are generated by the knowledge of entrepreneur and from organizational knowledge.

4. BZUPAGES.COM Product development Strategies Market development Strategies Diversification Strategies Penetration Strategies Produc t Market Existing New ExistingNew

5. BZUPAGES.COM A Strategy to grow by encouraging existing customers to buy more of the firms current product. A Strategy to grow by encouraging existing customers to buy more of the firms current product. Focus on the firms existing product in its existing market. Focus on the firms existing product in its existing market.

6. BZUPAGES.COM Strategy to grow by selling the firms existing products to new group of customers. Strategy to grow by selling the firms existing products to new group of customers. Group of customers can be categorized in term of Geographic's or demographics or new product use. Group of customers can be categorized in term of Geographic's or demographics or new product use.

7. BZUPAGES.COM Selling the existing product in new location. Selling the existing product in new location. New Demographic Market New Demographic Market Based upon income, education, age, sex,where they live. Based upon income, education, age, sex,where they live. New Product Use New Product Use An entrepreneurial firm find out that people use its product in a way that was not expected An entrepreneurial firm find out that people use its product in a way that was not expected

8. BZUPAGES.COM A strategy to grow by developing and selling new products to people who are already purchasing the firms existing product. A strategy to grow by developing and selling new products to people who are already purchasing the firms existing product. Experience with a particular group is a source of knowledge. Experience with a particular group is a source of knowledge.

9. BZUPAGES.COM A strategy to grow by selling a new product to a new market. A strategy to grow by selling a new product to a new market. There are three types of diversification There are three types of diversification 1. Backward Integration 2. Forward Integration 3. Horizontal Integration

10. BZUPAGES.COM Backward integration Backward integration Raw material Producer Raw material Wholesaler Manufacturer Finished goods wholesaler Customer Forward Integration Horizontal

11. BZUPAGES.COM As the firm grow,it changes. As the firm grow,it changes. These changes introduces a number of managerial challenges. These changes introduces a number of managerial challenges. 1. Pressure on existing financial resources 2. Pressure on Human Resource 3. Pressure on Management of Employee 4. Pressure on Entrepreneurs Time

12. BZUPAGES.COM Tayyaba Jahangir Bsit-07-33

13. BZUPAGES.COM Financial Control Appropriate controls to ensure that entrepreneur met projections and goals. Managing cash flow Managing cash flow Managing inventory Managing inventory 1. LIFO 2. FIFO Managing fixed assets Managing fixed assets Managing costs and profits Managing costs and profits 1. Taxes 2. Record keeping

14. BZUPAGES.COM Managing cash flow Up-to-date assessment of cash position. Up-to-date assessment of cash position. Prepare monthly cash flow statements Comparing budgeted Or Performa with Actual results This indicates Cash flow problems Controlling the cash needs

15. BZUPAGES.COM Managing inventory inventory To much inventory Drain on cash flow Manufacturing Transportation Storage 1.Customer demand are not meet 2.Lost in sales To little inventory

16. BZUPAGES.COM LIFO or FIFO Conversion to LIFO is beneficial when… Rising labor, materials, and other production costs are anticipated. Rising labor, materials, and other production costs are anticipated. Business and inventory are growing. Business and inventory are growing. Business has computer-assisted inventory control method capability. Business has computer-assisted inventory control method capability. Profitable business. Profitable business. If the start up is losing money, there is no no point in conversion methods.

17. BZUPAGES.COM Managing fixed assets Involves long-term commitment and large investments for new venture. Equipment require servicing and insurance. Equipment require servicing and insurance. Affects utility costs. Affects utility costs. Equipment will be depreciated over time. Equipment will be depreciated over time. Leasing could consider as alternative. Terms of lease Terms of lease Type of asset to be leased Type of asset to be leased Usage demand on the asset. Usage demand on the asset.

18. BZUPAGES.COM Managing costs and profits Finding the cause of problems effecting profits Eliminating the problems to increase profits Computing net income for interim periods During the year Establishing the standards and Comparing results

19. BZUPAGES.COM Taxes Withhold federal and state taxes for his / her employees. Withhold federal and state taxes for his / her employees. If payments are late higher interest and penalties are to be paid. Record keeping Maintain and keeping the databases for… Maintain and keeping the databases for… Customer knowledge and interest Customer knowledge and interest Sales new and existing Sales new and existing

20. BZUPAGES.COM Beenish Jahangir Bsit-07-04

21. BZUPAGES.COM OVERCOMING PRESSURES ON THE MANAGEMENT OF EMPLOYEES  Participative Style Of Management The entrepreneur/manager involves other in decision making process

22. BZUPAGES.COM  Activities to successfully grow a Business  Establish a team spirit  Communicate with employees  Provide feedback  Delegate some responsibility to others  Provide continuous training for employees

23. BZUPAGES.COM OVERCOMING PRESSURES ON ENTREPRENEUR’S TIME  Time management The process of improving an individual’s productivity through more efficient use of time.

24. BZUPAGES.COM  Benefits Of Time Management  Increased productivity  Increased jo satisfaction  Improved interpersonal relationships  Reduced time anxiety & tension  Better health

25. BZUPAGES.COM BASIC PRINCPLES OF TIME MANAGEMENT  Principle Of Desire A recognition of the need to change personal attitudes & habits regarding the allocation of time.  Principle Of Effectiveness A focus on the most important issues, even when under pressure.

26. BZUPAGES.COM  Principle Of Analysis Understanding how time is currently being allocated, and where it is being inefficiently invested.  Principle Of Teamwork Acknowledgment that only a smallamount of time is actually under one’s control & that most of one’s time is taken up by others.

27. BZUPAGES.COM  Principle Of Prioritized Planning Categorization of tasks by their degree of importance & then the allocation of time to tasks based on this categorization.  Principle Of Reanalysis Periodic review of one’s time management process.

28. BZUPAGES.COM CATEGORIZATION OF ENTREPRENEURS & THEIR FIRM’S GROWTH  Four Types Of Entreprenuers & Firm Growth Unused potentialActual growth Little PotentialConstrained NoYes High Low Entrepreneur’s growth aspiration Entrepreneur’ s ability to institute professional management practices

29. BZUPAGES.COM THANKS!!!!!!!!!!!!!!!!!