Which term best describes growth achieved by expanding existing operations rather than merging?

Which term best describes growth achieved by expanding existing operations rather than merging?

• A. Inorganic Growth
• B. Global Expansion
• C. Organic Growth
• D. Diversification

Answer: (C)

Internal expansion, or organic growth, describes growth achieved by expanding existing operations through a firm’s own resources and capabilities rather than by merging with or acquiring another company. This means boosting output, sales, or market presence by investing in capacity, improving products, expanding distribution, or entering new markets using the company’s current processes. The term fits the idea of growth that comes from within the business itself, not from external deals. Inorganic growth, by contrast, comes from mergers or acquisitions, and diversification involves moving into new products or markets. Global expansion can be part of organic growth if it’s done by expanding existing operations rather than by buying another firm, but the key distinction in this question is growth achieved without merging, which is why organic growth is the best description.

Internal expansion, or organic growth, describes growth achieved by expanding existing operations through a firm’s own resources and capabilities rather than by merging with or acquiring another company. This means boosting output, sales, or market presence by investing in capacity, improving products, expanding distribution, or entering new markets using the company’s current processes. The term fits the idea of growth that comes from within the business itself, not from external deals. Inorganic growth, by contrast, comes from mergers or acquisitions, and diversification involves moving into new products or markets. Global expansion can be part of organic growth if it’s done by expanding existing operations rather than by buying another firm, but the key distinction in this question is growth achieved without merging, which is why organic growth is the best description.