O'Reilly logo

The Art of M&A Strategy: A Guide to Building Your Company’s Future through Mergers, Acquisitions, and Divestitures by Alexandra Lajoux, Kenneth Smith

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

CHAPTER 3Expansion Strategy: Value in Revenue Growth

You can’t shrink to greatness.

—Grow to be Great1

Revenue growth remains a key driver of strategy for most companies despite the challenges it brings. To be sure, bigger is not necessarily better, as the bankruptcies of titans have taught us in recent years. Yet growth in revenues does tend to be associated over time with growth in value—measured as returns to shareholders. In Grow to be Great: Breaking the Downsizing Cycle,2 authors Dwight Gertz and João Baptista foresaw the limits of profit improvement without growth. When the book was written in the mid-1990s, many American corporations were obsessed with cost cutting to improve profits and boost stock performance. However, they were not ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required