14 Sep Why do some companies succeed at Business Development while others under-perform?
High growth firms have been studied by the SBA, academia, and business leaders.
There are clear answers to the questions of why some companies grow at accelerated levels and sustain their value over time, while the majority don’t.
- Lack of a clear vision
- Lack of a compelling value proposition
- Lack of a documented plan
- Inability to execute
Are these really a barrier to sustained growth and business development?
Don’t take my word for it, look at the studies The SBA did a study in the 1980’s where they identified “Gazelles”. They repeated the study in 2008 again identifying high growth companies. Both studies agree they these companies make up about 4% of total firms.
While the SBA studied who they are, the Blueprint Growth Institute went further. They identified what they did differently. Their 2010 study concluded of all the companies that went public since 1980, only 387 reached $1B in sales.
The Identified 7 Essentials
Their research found that all of these 387 companies shared at least 5 of 7 traits.
1.Clear Vision, Resulting in “Way Better Value to Customers.”
2.Identify High Growth Market Segments.
4.Big Brother Alliances.
6.Inside – Outside Leadership.
7.Board with Experts.