Competing Forces: Profitability And Growth - Part 2

It is hard for a business to maintain the opposing forces of profitability and growth at maximum. If both forces are weak the business dies.

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Video Length: 00:06:50

Questions I wanted to answer for my own business

  • How do you increase the value of your business?
  • What is most important for your business…high profitability or fast growth?
  • How can you be sure that what you measure matters most for the value of your business?

Competing forces: Profitability and Growth

Opposite forces can be complementary like in yīnyáng (陰陽). Extremely high Profitability (Yin) reduces growth. Extremely high Growth (Yang) reduces profitability.

It is hard for a business to maintain the opposing forces of profitability and growth at maximum. If both forces are weak the business dies.

World Class Benchmarking measures a combination of profitability and growth which we call “Profitable Growth”. The Profitable Growth score explains how well a company maximizes and balances the two forces.

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