There are only 2 ways of succeeding: either do better than
the competitors (a better Offer
or a better organization), or propose the same Offer at a better
price.
In the second case, size enables us to achieve economies of
scale at the same time as it allows for a better visibility, and
inspires more confidence.
Growth can be organic: it is the success of the Enterprise on its Market that makes it grow
gradually.
But some directors want to go more quickly: the solution then
consists in partnering with colleagues or acquiring them, then
merging the Enterprises to more quickly reach the critical size
sought.
It is also one way of acquiring complementary Models:
- new Product Models,
- Operational Models that can be more efficient in certain domains,
- more agile Transformation Models,
- a positive Image
An Enterprise merger considerably accelerates growth. But it is riskier than organic growth because it confronts two different Enterprise Models that will have to be brought closer together for us to truly benefit from the merger and not just be content with the addition of 2 operating accounts:
- bring the Offers closer
- bring the Operation
Models closer
- bring the Transformation
Models closer
- bring the Cultures closer
- bring the Images closer
The story of George the Baker is made available under the terms of the
Creative Commons Attribution - NoDerivatives 4.0 International license.