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Business Expansion A Business That Has Been Case Study

Business Expansion A business that has been doing well in its current location may decide to taste new waters in an attempt to grow. This can be through establishment of the same business in a different region in a country or even expand to a global scale. Such a decision is made when the business owner who has been successful in a sole proprietorship wants to try out new areas with the hope that the business will still do well in this new regions.

The business will therefore need to make several changes in terms of the new business form that it will undertake in its expansion. The business has to consider employing new workers and even having a new way of thinking in terms of the initial business plan. The business leadership will have a task to come up with a new business plan on how the business will be expanded.

This paper will therefore look at the various areas that the leadership of the business will touch on so that they will ensure a success in the expansion of the business. Among the issues that the leadership must deal with are;

Key business functions to be considered and protected

The vital business functions without which the business cannot operate or remain viable are production and sales. The business upon expansion should therefore ensure that the production rate is sufficient enough to meet the needs of the customers. The business should also make sure that the sales are sufficient to ensure that the goods produced are sold effectively. If these functions are not protected during expansion then the business...

The business can incur serious losses if the production is high but there are no sales made. Or even when the demand for the products is high and the production system is not in a position to meet the demand (Bax, 2011). There can also be legal implications and penalties to the business incase these issues are not properly managed. This occurs when the goods are not up to standards that have been set or the standards have gone down upon expansion.
Employees

Without employees both new and old, the business can not register a success during its expansion. A growing business should therefore have appropriate expansion policies put in place that will motivate the key employees to be part of the expanding business. If no proper strategies are put in place then some of the employees will be triggered to leave. With expansion a business brings an increase in the opportunities, the business in a bid to motivate the current employees they can offer promotional opportunities to them as they take up new employees in the business. When hiring new employees they should be careful to ensure that the old employees do not feel as though they have been replaced rather they should be made to feel as though they have been rewarded by been promoted to new post that have been created from the expansion.

Systems to undergo adjustment

There are various systems within the business that should be considered when expansion is being done. The communication system in the business should be upgraded…

Sources used in this document:
References

Friedman, M. (2007). The New York Times Magazine;The Social Responsibility of Business is to Increase its Profits .New York Times company

Rank, J. (2010) Encyclopidia for business; Business Ethics

Bax, A. (2011). expanding your business to a new market. For entrepreneures, 2(5), 3.
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