At many times we read about acquisitions by huge big companies. Microsoft acquired Skype for US $ 8.1 billion, yahoo acquired Broadcast.com for around US $ 5 billion etc...
And there is Facebook which acquired Whatsapp for a pounding US $ 19 billion! When you are thinking of expanding your business they is a lot of problems that will occur and number 1. Being competition.
When you are expanding your firm, it means that you starting new companies or even buying other companies.
There are a lot of reasons to expand; businesses expand because expanding is good. But not because it's good but to grow in wealth etc.
They invest to later gain future earnings
Almost every business out there wants to take over all markets. Others acquire so as to keep competitors away from getting their hands off fast growing ventures. Remember, Business is about competition.
Other companies' acquire similar companies because they see a potential in them, to compete. So they cut them off.
Facebook acquired products such as MSCRD, WHATSAPP and INSTAGRAM because it wants the only Social Media king. It wants to be Ubiquitous in this industry.
Once your business has grown, it will be time to spread like cancer. Expanding does not mean you have to be on all your business cases. When you acquire a company, if the company was doing don't kick every one out. Behind a great team they is a great destiny. Especially the leadership teams. If a company is growing then the leadership has a goal.
Build a new product line and new startups within your company.
Initial Public Offering (IPO)
When a company reaches a certain point it has to leave its childhood and go public. Going public means you are joining the Wall Street. IT means that your company shares will be traded publicly. They can be traded in NASDAQ or JSE etc.
Businesses within Businesses
They is a term you might not be familiar with. INTRAPRENEUR
Define:
"A person who start businesses within another."
Employ people to work within your group, innovators who can help grow your business.
Because if don't then how will you expand it alone? You won't always get the best ideas when it comes to business.
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Billion Dollar Venture- Steps to starting a successful business
RandomYour first steps into business, this book will help you run a successful enterprise its more of a guideline you will love it! Contains business quotes to help kick start your business, you will surely enjoy it :)
