Define Expansion

Generally, expansion implies that something has become bigger or more extensive. In business, the term can be used interchangeably with business growth to imply that it has expanded in terms of size. Business expansion exposes the products to broader markets and audiences, increasing the customer base, which eventually turns into more customers and sales. When sales revenue increases, the business becomes more profitable, enabling it to enter new markets, thus boosting its growth. Additionally, expansion enables the business to obtain a larger market share and power, giving it economies of scale.