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Defining the Drivers of Profitable Growth

In: Scaling the Tail: Managing Profitable Growth in Emerging Markets

Author

Listed:
  • Seung Ho Park
  • Gerardo R. Ungson
  • Andrew Cosgrove

Abstract

In this chapter, we discuss various drivers based on survey results and field interviews focusing on the differences between higher and lower performing firms. Our objective was to define fine-grained, micro-level decisions, using the following drivers of performance in the survey: (1) channels of competitive advantage; (2) strategies for future revenue growth; and (3) strategies for cost reduction. Although most, if not all, firms indicated that they pursued a differentiation strategy, there are various ways of reaching this objective and excelling in the process. Some differing characteristics among the firms include the following: (1) exploring all sources of competitive advantage; (2) assessing localization through affordable innovation; (3) exploiting sources of synergies; (4) scaling product categories, not products; and (5) exploring strategies for cost reduction.

Suggested Citation

  • Seung Ho Park & Gerardo R. Ungson & Andrew Cosgrove, 2015. "Defining the Drivers of Profitable Growth," Palgrave Macmillan Books, in: Scaling the Tail: Managing Profitable Growth in Emerging Markets, chapter 7, pages 67-90, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-53859-8_7
    DOI: 10.1057/9781137538598_7
    as

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