Growth Archetype: Growth-Constrained
For complex firms with limited market reach
Why This Matters
Growth-constrained firms often invest in new markets before fixing foundational issues. Scroll down to learn how rebuilding your GTM foundation can unlock cost-effective paths to scale.
Growth-Constrained Firm Definition
Smaller, complex companies with fewer products and limited market reach (<$500M)
Growth-constrained firms are smaller, structurally complex organizations that lack a strong GTM foundation.
These companies are not necessarily young, with more than half operating for over 20 years. However, they have taken fewer scaling risks and lost on some of the bets they did make.
Growth-constrained firms must look inward to fix disorganization, or else any strategy they take on will fail.
The Challenge
Growth-constrained firms try to expand their addressable markets by introducing new products or standing up new customer segments. These strategies seem like reasonable areas for growth given that these organizations have a smaller product set and fewer customer segments to begin with.
However, without a coordinated go-to-market (GTM) effort, they are unable to execute these strategies effectively.
Scaling Strategy
For growth-constrained firms to start scaling smarter, they must refocus their investments towards creating proper GTM foundations:
Transforming GTM organization: A powerful way to unlock growth is reworking the GTM structure, such as redesigning territories or modernizing the organization’s GTM tech stack. With a 5% cost of revenue average, this is a high return strategy for a lower cost.
By reassessing existing investments and addressing areas of improvement, growth-constrained firms can support future scaling efforts.
Executing a GTM Transformation yields a high return strategy for a lower cost
Looking to break through growth barriers?
Growth-constrained firms often face structural challenges that limit scale. Alexander Group can help you rebuild your GTM foundation and identify cost-effective paths to growth.
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