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Modelling Growth Strategy in Small Entrepreneurial Business Organisations

Satyajit Majumdar is Associate Professor at T. A. Pai Management Institute, Manipal, India.

Growth is understood variously by entrepreneurs, and their attitudes influence the goals and ambitions concerning growth. Their actions in this regard depend on the contextual conditions. In this article a model on growth strategy in small entrepre-neurial organisations is presented and three propositions are made: (1) attitudes and vision of the entrepreneurs drive growth of small organisations, (2) entrepreneurs of small organisations conduct early search for strategic fit in the market and the environment, and (3) entrepreneurs of small organisations persist in their search for better fit in the market. The model reflects strategic and entrepreneurial dimensions of growth. The propositions can be tested in specific industry settings. First, the dimensions of growth as understood by the entrepreneurs should be analysed and then the process of finding a fit between the industry and its market opportunities should be mapped out to arrive at a robust strategy framework.

Journal of Entrepreneurship, Vol. 17, No. 2, 157-168 (2008)
DOI: 10.1177/097135570801700204


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