Making a scaling decision

I happened to be in two conversations over the past week centred on making an investment in scaling a business. And they prompted me to share my experience in making scaling decisions.

To successfully scale a business, at least five things need to be in place. A strong value proposition, product-market fit, a scalable market, a scalable product/technology, and scalable processes (including and importantly the customer acquisition processes).

If the business is missing any one of these then any investment in scaling is likely to deliver inferior returns and the CEO would be better focused on plugging the gap, which would be developing the VP, demonstrating product-market fit, finding a growth market, or improving the scalability of the product or processes. #strategy #business #growth

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