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Why do organization feel pressure to grow?

Updated: 4/28/2022
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Densol

Lvl 1
13y ago

Best Answer

As the saying goes: "Even if you are on the right track, you will get run over if you just sit there."

In business, a company needs to continue to expand because other competitors will outgrow it if it doesn't. This refers to the so called "competitive pressure". It must grow to stay competitive, and ultimately to stay in business.

Also, it will feel pressure to grow from its owners, investors and shareholders. These individuals, want to profit from the company, and the larger the company, the higher their share of th profit.

Finally, the pressure can come from within the company management. Executives will feel the desire to grow and expand to ultimately, have better compensation for their work.

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