New Report Examines Canadian Best Business Practices
According to a new report — “Business (Practice) Makes Perfect – How Successful Technology Companies in Ontario Grow” — there are only six specific best business practices that contribute to growth in sales revenue. Their impact, however, is experienced differently depending on the age of the company.
The report notes that investing in sales activities and marketing efforts influences the success of younger firms, defined as those that are no more than six years old. Meanwhile, older firms should spend money on research and development, focus attention on certain management structures and style, consider how they reward employees and strengthen their ability to scale.
The researchers who put together the research for this report targeted a selection of Ontario technology firms to assess and compare revenue growth. The types of firms selected are referred to as “scale-up” companies — unlike new and unproven “start-ups,” these companies are already growing with a viable business model. Participating companies completed an online survey answering questions about twenty-four business practices, covering everything from “entrepreneurial culture” to “access to funding.”
Nicole Coviello, Betty and Peter Sims Professor of Entrepreneurship and Professor of Marketing at the Lazaridis School of Business & Economics at Wilfrid Laurier University, said that,
“The results suggest that younger and older scale-ups should concentrate on different business practices if they want to meet their revenue targets quickly. It’s not always about scaling – that’s important but it’s just a piece of the puzzle.”
This research is only the initial study of Ontario technology firms — from here on out, this report will be revisited annually as a research program conducted by the Lazaridis Institute for the Management of Technology Enterprises.
“It’s no secret that Canadian innovators are good at launching start-ups, but they don’t always perform as globally competitive technology companies,” said Coviello. “These initial findings suggest that focusing on certain business practices and capabilities can help. We want to explore these findings over time so that Canadian firms are better equipped to drive long-term, sustainable growth.”
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Max Pulcini
Max Pulcini is a Philadelphia-based writer and reporter. He has an affinity for Philly sports teams, Super Smash Bros. and cured meats and cheeses. Max has written for Philadelphia-based publications such as Spirit News, Philadelphia City Paper, and Billy Penn, as well as national news outlets like The Daily Beast.
