Class 12 Entrepreneurship: Enterprise Growth Strategies
Chapter 4: Enterprise Growth Strategies — explore how enterprises grow through internal expansion, franchising, and mergers and acquisitions. CBSE Class 12 Entrepreneurship notes covering 3 topics: Growth and Development of an Enterprise, Franchising as a Growth Strategy, and Mergers and Acquisitions.
Topics(3)
Growth and Development of an Enterprise
Internal and external expansion of enterprises, business combinations, and an overview of franchising and mergers and acquisitions as growth strategies, with the Goli Vada Pav case study. CBSE Class 12 Entrepreneurship notes
Franchising as a Growth Strategy
History of franchising from Isaac Singer to McDonald's, the franchise agreement, types of franchising, and the advantages and disadvantages for franchisee and franchisor. CBSE Class 12 Entrepreneurship notes
Mergers and Acquisitions
Learn how firms grow through mergers and acquisitions — amalgamation versus absorption, five merger types, acquisition types from friendly to hostile, synergy, and the reasons firms choose M&A. CBSE Class 12 Entrepreneurship notes with real company examples.
Questions by Textbook
Study Simplify Special
Frequently Asked Questions
From the given Franchise in Column I and related meaning in Column II, identify the matching pair. Column I: 1 Franchisor, 2 Franchisee, 3 Franchise, 4 Royalty. Column II: A The individual or firm purchasing the rights, B Periodic payment made to the franchisor, C The owner who grants rights to another party, D Standard Operating Procedure.
Assertion (A): Horizontal expansion means adding new units at the diversified stage of production. Reason (R): A bakery starting a chain of similar bakeries in other towns is an example of horizontal expansion.
Rohan embarked on an entrepreneurial venture by establishing a gym called Fit Zone. He equipped the facility with a diverse range of machines and enlisted qualified trainers to assist customers in their workouts. Initially, he set a nominal hourly fee to make the gym accessible to individuals from economically disadvantaged backgrounds. The gym quickly gained popularity, prompting Rohan to operate in multiple shifts and hire additional trainers. He also expanded the facility by installing extra machines to accommodate a larger customer base. Identify the type of business expansion undertaken by Rohan.
From the given enterprise in Column I and related glossary in Column II, identify the matching pair. Column I: 1 Vodafone and Idea, 2 Walt Disney and American Broadcasting company, 3 Facebook and Instagram, 4 L&T and Mind Tree. Column II: A Conglomerate Merger, B Hostile Acquisition, C Friendly acquisition, D Horizontal Merger.
A textile manufacturing company named Fab Weave Ltd and a cotton producing company named Pure Cotton Ltd decided to merge together to maintain steady production and supply chain.