Business Studies: Sample Essay on Stages of Business Organization Growth

Stages of Business Organization Growth

Growth takes place in a business organization within four categories. The steps are vital because they aid the administration to recognize the status of the firm. Additionally, the stages embrace suitable aspects to handle problems which they encounter at each level. The categories of development in a business include existence, success, survival and maturity.

The first stage is existence which allows a business individual to initiate business idea and put it into practice. In this regard, the entrepreneur finds capital that will enable him to start trading. He also engages in daily operations of the business. For a firm to enhance its existence, it relies on its clients. It is the responsibility of a business person to embrace proper strategies that will attract plenty of consumers. For instance, if a business individual intends to open a shop, he will start by finding capital. After that, he can open his store and be in charge to ensure that it operates in an effective manner (Sen, 2008).

Survival is the next level after undergoing the existence stage in a successful way. During this step, the purpose of the business man is to ensure that he meets the costs by making profits. The money that he collects is essential to ensure that he survives in a business. Survival is the most crucial stage because plenty of business individuals do not manage to go past it especially if they don’t make profits. At a success category, companies make sufficient returns to cover their expenses.

The firm also increases its products to facilitate its progress. Maturity is the final stage that depicts growth of a business. At this level, the business makes use of available products to make maximum profits. If the entrepreneur invests plenty of commodities, he may risk incurring loses. The objective of a business person is to maintain high returns to develop a business.



Minkes, A. L., & Nuttall, C. S. (1985). Business behaviour & management structure. New York: St. Martin’s Press.

Sen, M. (2008). Business management. Jaipur, India: Oxford Book Co..


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