1.6 Growth and Evolution
By the end of this chapter you should be able to:
➔ Define the terms economies and diseconomies of scale
➔ Discuss the merits of small versus large organizations
➔ Outline the difference between internal and external growth
➔ Explain the following external growth methods:
● mergers and acquisitions (M & As) and takeovers
● joint ventures
● strategic alliances
● franchising
➔ Explain the role and impact of globalization on the growth and
evolution of businesses
➔ Outline reasons for the growth of multinational companies (MNCs)
➔ Evaluate the impact of MNCs on the host countries