Hunger for growth is what…If there is scope of organic growth…then company…build the processes…and in turn processes produce result…And
Hunting for growth comes …When there is no organic growth left…Then the companies will try different things to show result…They may go for discount model,banks may go for sanctioning sub prime loans…This hunting may not be very risky for cash rich businesses like TCS,HUL …But if a leveraged business like bank and NBFC will do this …Then end result may be dangerous…When companies becomes so big ,then they can’t grow in high pace…What if HDFC bank plans to put 5000 branches per year…Or want to increase corporate lending 25k crore each year…I would call it as hunting for growth…And I am afraid of it…When ITC decided to go for hotel business…What you think …Is it hunting for growth…When TATAs go for airlines…Is it hunting for growth ?..It just does not make sense that … ITC and TATA are taking profit from high margin business to invest in low margin business…Just read 6 years of annual report of TATA investment corporation…You will not notice that they r in hunting mode…Since they r unable create growth in existing businesses…
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