วันอาทิตย์ที่ 28 กุมภาพันธ์ พ.ศ. 2553

Advantages and disadvantages of Business Expansion


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Companies around the world have changed over the last ten years so. With the advent of the Internet and the development of some products incredible software has changed the world in a big shopping center. Can no longer run a business organization in isolation.

Acquisitions and mergers are commonplace in the business world. Even traditional companies are competing to take their hands through mergers and acquisitions, their> Company to new horizons in this scenario of rapidly changing business. The recent news about attempts by Microsoft to buy one of its main competitors, Yahoo is an excellent example of this type of business expansion.

Business Organizations talk about business expansion in order, if the company goes well in his work as original. Expanding Business, you can create a new branch in another city, start of operations in a newDomain, increasing its workforce, the introduction of new technologies or the acquisition of another company in a related field or in the same area. Business development is something that should be carefully and after much research. There have been cases in history, acquisitions and ill-advised excursion into a completely unknown domain destroyed a well-managed companies.

In general, the expansion of activities will wonder about the development of aOrganization. It provides a further impetus for the organization that do well in all areas. It provides a sense of confidence and comfort in the minds of employees and investors, reflected in the budget of the company must. Even if a company is a new establishment or strengthening of personal power will be open, increase the level of productivity, of course. It provides more options for the organization of a particular work to do. This kind of news will surely give the client astrong sense of confidence to be with the organization. Another important aspect of business expansion and efficient use of resources. If there is a good opportunity to do a certain type of transaction for a specific time, is a person to do it. Thus, if an organization places an opportunity, it is better because it is more likely that the existing fund with the business.

However, the expansion of activities is not an infallible recipeContinued success of any organization. The most important is the risk involved in the new action. When adding new offices and hired more people, if the company has not received the expected benefits of businesses and organizes the new equipment and recruits will be useless. It is therefore important to know the economic climate over time, before continuing with plans for expansion. Another negative aspect of the potential for expansion of activities is that the company may lose focusthe existing business. If all the energy focused on expansion plans, it is easier for existing firms unnoticed drift downward.

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1 ความคิดเห็น:

  1. Although there are many advantages and disadvantages of having business but the significant benefits appear to be apparent like fast development without the extensive investment expenses, using other individuals money to develop your product name.

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