Tue 24 Jul 2007
I’ve been wracking my brain to find a new one, but there’s no way around it. Although there are hundreds of specific approaches, when you distill them all down, there are only three ways to expand a business. Three main ways, and only three. What are they?
1. Sell more to your existing customers
2. Find more new customers
3. Merge or acquire your competitors
You might ask, “What’s the point of talking about three when there are ‘hundreds of specific approaches’?” That’s a reasonable question - it’s easy to think consolidating them obscures the opportunity. But in fact, it’s just the opposite.
You see, most people don’t think much, and when they do they never pay attention to how they’re thinking -so they never develop tools for how to do it. Generalization is one of those tools - a powerful one allows you to crunch a whole bunch of information into a few manageable pieces you can more easily manipulate in your mind.
That’s what we’ve just done here. Now that you realize there are only three ways to grow a business - whether it’s sales, or cash flow, or market share… whatever, you can examine each of these three more carefully and see how they apply to your business.
And that’s what you should do next.




July 26th, 2007 at 5:02 pm
When it comes to business growth I think it is inevitable to think about how the government can be manipulated to give you an advantage. Some examples:
-Agency writes RFP aimed at your product/service
-Agency writes regulation making your product the only acceptable product in its class
-Agency writes regulation making other products illegal
So while I suppose the first two fall under sell more/find more, using the government to eliminate your competition is not listed.