Answer to Question #221855 in Marketing for Afshan Ahmed

Question

2. Discuss whether organic growth is more sustainable or whether companies should keep pushing their growth by acquiring other companies.

Answer 1

Organic growth is more sustainable and good for business growth. It involves internal capabilities, resources, marketing, and relations; therefore, a company can have full control over business operations like management, marketing, and production. It is easy to develop viable strategies without many issues because there is no complex network of stakeholders. Organic growth is slow but cost-effective and low risks than the acquisition approach. With organic growth, it is easy to focus on specific product or service growth and identify new or profitable markets that a business can enter.