In today’s competitive landscape, established businesses often prioritize market share expansion, sometimes at the expense of profitability. Conventional thinking suggests that scaling requires sacrificing margins, but a business design consultant in Ahmedabad can help companies balance growth and profitability through strategic business design.
Many businesses pursue aggressive expansion through price wars or heavy marketing to capture larger market shares. While this may boost visibility in the short term, it often results in unsustainable models with thin margins and heightened competition. True growth is achieved when organizations expand their market presence while strengthening their profit models.
Our approach emphasizes that scaling up does not require compromising profitability. Businesses must adopt a holistic mindset that integrates growth strategies with profit-focused design. Small and mid-sized organizations, in particular, can generate substantial value for customers, but capturing a fair share of that value as profit requires a clear understanding of applicable profit models.
Industry leaders demonstrate this principle: General Electric profits from customer solutions, Swatch leverages the product pyramid, while Nike and Coca-Cola benefit from brand premium models. Without a well-defined profit strategy, sales growth does not necessarily translate into stronger bottom lines.
From our experience, focusing on business design and operational excellence drives both growth and margin improvement. For example, in a previous engagement with an engineering division, sales grew from ₹300 crore to ₹1000 crore, while margins improved from 7% to 15%, achieved through customized offerings, operational efficiency, and better price realization.
Working with a business design consultant in Ahmedabad ensures that scaling strategies are profitable and sustainable. By combining market share expansion with a deliberate focus on profitability, companies can build resilient, long-term success.