Introduction
At some moment, any business starts to consider different options for decisions to ensure economic growth. The empirical experience and academic research provide various categories of economic growth strategies.
Discussion
In general, one can identify four of them: diversification, product development, market penetration, and market development. For example, one of the most famous audio streaming services Spotify achieves growth through new markets, so their strategy is called market development. Founded in Sweden, Spotify mostly operated in Western countries with a relatively rich population. After some time, Spotify’s management recognized that they can easily enter the new markets. For example, in 2021, Spotify entered six countries: Iraq, Libya, Tajikistan, Venezuela, the Republic of the Congo, and the Democratic Republic of the Congo.
In my understanding, a successful firm should consider such growth strategies that are most realistic to its current state of affairs. Nevertheless, one of the key strategies that should be constantly pursued is market penetration. It means the attempt to increase the share of the market through the sale of the current products. It involves continuous efforts to find new customers and win over competitors. Therefore, my strategy in the majority of financing plan formulations will be built around market penetration. However, my colleagues in a group may be more progressive in their plans suggesting diversification or market development.
Conclusion
It may result in disputes around the prospects of development, so structured evidence-based debates are essential here. As for me, I am always ready to change my mind about certain types of strategies if the data and arguments provided are convincing. Such readiness to change beliefs about growth through learning is an essential part of successful company management.