Tuesday, October 11, 2016

Growth of Business and Industrial Firms - Literature Review and Theory

Gest. Prod., São Carlos, v. 23, n. 2, p. 419-432, 2016

Growth of small businesses: a literature review and perspectives of studies
Hilka Pelizza Vier Machado

Achtenhagen et al. (2010) reviewed studies on growth published between 1997 and 2008 and
identified 56 articles, most of which endeavored to explain why enterprises grow (growth as a dependent variable); however, other articles dealt with growth strategies or on growth intentions and desires.

According to Penrose (2006), growth is the product of an internal process in the development
of an enterprise and an increase in quality and/or expansion. “Growth is defined as a change in size
during a determined time span” (Dobbs & Hamilton, 2007, p. 313).

According to Janssen (2009a), a company´s growth is essentially the result of expansion of demands for products or services. “It first results in a growth in sales and consequently in investments in additional production factors to adapt itself to new demands” (Janssen, 2009c, p. 23).