Does the "Sustainability" strategy always have to include "growth"?
Over the past 10 years business schools at the university level have been promoting how to find the idea of "sustainability" in regards to a company's success. They are saying "sustainability" should be a strategy that businesses leaders incorporate in their modus of operandi, especially for new and small businesses.
Sustainability is a good strategy to have as it relates to survival of the company in both the short and long term. However, something that is puzzling me is how a company's "growth" strategy always creeps into a company's sustainability strategy. Does growth have to always be in the company's strategy to make it sustainable?
I sure hope it is not the case, as I believe too many companies have a growth strategy that hurts the overall economy and thus kills the sustainability of the majority of companies currently in operation. The strategy of growth found in most companies today actual is a determinent to the overall world economy, as well as the state and local city economies.
The growth predictament that business leaders put themselves in is that they either grow or cease to exist. In this sense, implementing their growth strategy produces similar outcomes that are seen in pricing wars caused by low price strategies. No company wins when they enter a pricing war. The customer wins in the short term. However, it is only in the short term as the companies cease to exist in the long term to be able to provide any benefit the customers longer than the short term.
In some cases the pricing war strategy is a result of a growth strategy as companies try to grow. To do so they lower their prices to move more product and increase their customer base.
In my opinion, sustainability is a good thing; mandatory growth is a bad thing. Over the next 10-15 years, as big box companies are driven by investor's short sightness of growth now, it will be interesting to see if small companies will have to grow to stay "sustainable". Or will we see small companies succomb to the large companies -- with these large companies eventually letting their customers down, and ultimately endung up with displeased investors.
This relates to GolfInvestors in that investors are the ones that are driving the manadatory growth strategies of companies today -- it is not hte business manager. Investors want to see the largest profit margin possible tomorrow or in the coming quarter. Investors today are not concerned with building long term value in the company and for the customer. They are not good managers of a business (or they would be in the company managing it), and thus want to get the biggest return possible in the coming quarter -- very short term thinking.
To nuture a small business so it is sustainable, investors need to take a hiatus of receiving profits in the short term so that the possibility of their cumulative returns in the long term will be higher.
If investors that invest on the GolfInvestor stock markets take the attitude of milking their investment in a golfer in the short term or want immediate returns, then the GolfInvestor concept is probably not a valid proposition. Yes, the GolfInvestors concept provides investors with near real-time financial results and direct access to the golfer. However, that does not mean investors should react on every new tidbit of information they have access to. They should pool the information so they make long term decisions. They should use real-time information to constantly modify their long term investing strategies, not to manage the golfer or run a company. Running the company is up to the expert business manger. In the case of GolfInvestors, this is the golfer, the investment which the investors are putting their faith into. If investors try to over manage a golfer most likely the golfer will get fed up with investors driving them into the ground and thus not realize their potential. Or worse yet, the golfer will quit their pursuit to play golf professionally. Then both the investor and the golfer are out of luck.
Investors on GolfInvestors need to act more like a "supporter" of the golfer, not a critic of the golfer. I am hoping investors on GolfInvestors will take this attitude when investing in a golfer rather than being out for the quick profit on their investment. I am hoping investors will nuture the golfers and their potential return in the short term so both the investors and golfers realize a larger return in the long term.

