Business growth is one of the essential factors that keep a business organisation for a long time. There two types of business growth which are both important to the business but at different times.

A start-up at the beginning does everything possible to grow at a reasonably fast rate when it gets to a stage they get to the peak of growth and for further growth, they will need to expand the business.

Building your team in a horizontal or vertical way will go a long way in the growth and success of your business firm. We will be discussing the best approach for your business either as a start-up or an established firm.

Building Vertically

This is the act of investing and working more in your particular industry. That is you try to get a higher market share of the industry you are in. This means you try everything possible to increase the demand for your product and its constant use or patronage.

Startups do this most times but it is necessarily not the way out but before we discuss the disadvantage, let’s talk about how you can build vertically with examples

  • Creating New products

This was done by sales force a software company which started as a cloud-based CRM (customer relationship management) but moved to cloud-hosted technologies and products in order to target the market better.

  • Adding More features, capabilities and add-ons

For example, Uber started Uber-X, Uber-XL and Uber Black and this for them made them gain more market share which is paying off now.

Building Horizontally

This aims at expanding the business operation by entering new markets geographically or through sectors. This is a situation whereby firms compete in a new industry or market entirely from where they have been before.

When you want to engage building horizontally, make sure you expand to markets that you can work with existing strengths and knowledge instead of going to a totally foreign market.

These are what to do when you want to follow this approach

  • Replicating your business model in a new market
  • Leverage on your existing assets
  • Make your operations inhouse with employees that already on ground


In conclusion what before you take any step check out what it entails. For you to take the horizontal approach you must be sure that there is still enough space in the market.

And if you want to go to through with the vertical approach make sure you about the market you are going into.

Read more great articles that will help you and your business on this website.


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