Jasz
VIP Contributor
Growth regression is a phenomenon where a company's growth slows or stops after it has reached a certain level of profitability.
Growth Regression in Business
Growth regression is a phenomenon where a company's growth slows or stops after it has reached a certain level of profitability. It can be caused by either external or internal factors, but external factors are generally more likely to occur. External factors are caused by changes in the economy, such as a recession or an increase in competition. Internal factors are caused by changes within the company itself. For example, if a company makes an acquisition that requires significant investment, growth will slow as the new business begins to grow and pay off its debt.
Having said Growth Regression is when your business hits a peak, then starts growing and falling back down again.
It's usually caused by other factors like:
1. A change in strategy or tactics
2. A new product launch
3. New competition entering the market
4. Your business environment changing - e.g., a new competitor entering your market.
Growth Regression in Business
Growth regression is a phenomenon where a company's growth slows or stops after it has reached a certain level of profitability. It can be caused by either external or internal factors, but external factors are generally more likely to occur. External factors are caused by changes in the economy, such as a recession or an increase in competition. Internal factors are caused by changes within the company itself. For example, if a company makes an acquisition that requires significant investment, growth will slow as the new business begins to grow and pay off its debt.
Having said Growth Regression is when your business hits a peak, then starts growing and falling back down again.
It's usually caused by other factors like:
1. A change in strategy or tactics
2. A new product launch
3. New competition entering the market
4. Your business environment changing - e.g., a new competitor entering your market.
