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2022-01-25

Why Do Corporations Have to Grow?

There are a few one to three person companies out there that never grow any bigger, but all in all it looks to me like the vast majority of companies just want to grow and keep growing. New markets, more employees, bigger or more products, higher revenue, higher profits.

How come they never say "look, we're about 20 people now. Any bigger than this and we'll have to hire someone for the administrative overhead. We make enough for everyone to have a pretty good salary, and we can increase prices at the rate of inflation to keep it that way. What do you say we just settle for this?"

At what point or under which circumstances does a company have to grow to survive? When could they just settle for where they are? Running one restaurant instead of franchising or opening a couple of others. Having that specialised app with 50 corporate customers and being happy with that. Being a consultancy with ten competent people you like hanging out with and just keep it at that. A marketing firm that only works with local customers, making enough to support three employees.

More On This

2022-01-26 Alexey's gemlog: On corporate growth

2022-01-26 ew0k: Re: Why Do Corporations Have to Grow?

2022-01-26 🔥 Smokey: RE:"Why Do Corporations Have to Grow?" A Biological Perspective

2022-01-26 Josias's Gemlog: Re: Why Do Corporations Have to Grow?

2022-01-27 ew0k: Thanks For All the Great Thoughts on Corporate Growth!

2022-01-29 ~ew's FlightLog: Re: Why Do Corporations Have to Grow?

-- CC0 Björn Wärmedal