Chapter 17 Expanding the business
Past exam questions 2011
2010
2009 Q2 A and Q5 A+B
2006 Q6
2005 B + C
2003 Q2 A 2002 ABQ
What is ‘Expansion’? Expansion means ‘getting bigger’. It involves selling more products, entering new markets and obtaining more assets (eg.: new buildings, etc) One of the main aims of any business is to expand and increase profits. Expansion can be achieved from within the business itself or through other businesses outside of itself. Internal growth is referred to as organic growth, while growth involving another business is called inorganic growth. eg.: Dunnes Stores has 150 Stores today compared with one when it started in 1944.
Reasons for Business Expansion
Defensive cont.
How Businesses Expand
Choosing Finance for Expansion Cost Security Tax implications control