Home > Store

Getting Bigger by Growing Smaller: A New Growth Model for Corporate America

Register your product to gain access to bonus material or receive a coupon.

Getting Bigger by Growing Smaller: A New Growth Model for Corporate America


  • Sorry, this book is no longer in print.
Not for Sale


  • Copyright 2004
  • Dimensions: 6" x 9"
  • Pages: 240
  • Edition: 1st
  • Book
  • ISBN-10: 0-13-008422-0
  • ISBN-13: 978-0-13-008422-4

Large, mature companies always become trapped at some point in the declining stages of what has become known as the corporate life cycle. Historically this barrier to continued growth has been, and is still, as unavoidable as death and taxes.

In Getting Bigger by Growing Smaller, Joel Shulman, a leading researcher on entrepreneurship, teams up with Thomas T. Stallkamp, one of the world's most effective executives, to introduce a powerful new growth model for corporate America (based on 4 years of research at Babson College and Harvard University) that can enable corporations to break through this barrier to growth by utilizing a new breakthrough business model called the Strategic Entrepreneurial Unit (SEU). Shulman and Stallkamp demonstrate how to build new employee/entrepreneur-led startups within the corporation--entities that can take on new market opportunities and deliver startup-level growth. This is the first book to provide practical methods for actually identifying, creating, and implementing smaller units within large organizations to enable continued, rapid growth beyond the predictable barriers of the corporate life cycle.

Sample Content

Online Sample Chapter

What's Wrong with the Current System? Compensation without Long-Term Value Creation

Downloadable Sample Chapter

Download the Sample Chapter related to this title.

Table of Contents



1. Grow Smarter or Die: The Formation of a Strategic Entrepreneurial Unit (SEU).

The SEU: A New Model of Growth. Why Corporate America Needs a New Growth Model. What the SEU Needs to Succeed. What the SEU Can Achieve. Anatomy of an SEU. The Traditional VC Model. Short Term Is Out—Long Term is In. A Fresh Perspective. Large Companies Should Win.

2. The Corporate Life Cycle: Why Can't Businesses Grow Forever?

Is Corporate Death Inevitable? Corporate Renewal Programs. Corporate Life Cycle. The Evidence. How Big and Old Do Public Companies Get? Typical Profile of a Fortune 500 Company? Why Don't Big Companies Grow Forever? Let's Ask the Experts. Extending the Life Cycle: A Few Cases in Point. Company at Point “A”. Company at Point “B”. Company at Point “C”. Company at Point “D”. Company at Point “E”. Creating a Template for Future Corporate Empires.

3. What's Wrong with the Current System? Compensation without Long-Term Value Creation.

High Compensation without Revenues—Now That's a Problem. Money Is Not Everything—But It's Pretty Darn Important. Whatever Goes Up… Return without Risk: Not Bad if You Can Get It. Want Growth? Just Acquire It. CEOs May Serve Themselves First. Management by the Numbers: Executive Compensation and Shareholder Return. Highest Paid = Highest Performance? A Look at Business Week's Top 20. CEO Influence: Examples of Style. Lessons Learned? Do Senior Agents Represent Themselves More than Other Stakeholders? Incentive Orientation: Things Need to Change.

4. Resistance to Change— Ways to Leverage the Concrete Middle.

Just Do It My Way and Don't Ask Questions. Inbred Management at Ford Purchasing. The Problem of the Concrete Middle. An Organized Resistance Campaign. Problems with Culture: The Case at Chrysler/Daimler. A Question of Culture. Using the SEU to Overcome the Concrete Middle.

5. Growth Models Need to Change.

The Race for Corporate Growth. All Growth Is Not Equal. High Growth: Does It Guarantee Fame and Fortune? Career Paths on the Fly: Action = Money. Going Public-The Ultimate Harvest Vehicle? Ways to Grow-Complex Problems…So Little Time. Why Acquire? Why Not?—It's Fast. Why Acquired Growth Doesn't Work—Who Stays and Who Goes? Changing Goals and Culture Over Time: We Need a New Model of Growth. Growth in Revenues Does Not Equal Growth in Stock Price. 2001 to 2003—Post-Evaluation Period. Conclusions.

6. A New Growth Model.

Bureaucratic Companies Begin as Entrepreneurial Firms. If Only They Had Stayed… Corporate America Needs to Capture the Growth of New Ventures. From Spinouts to Corporate Venturing: Growth Models Past, Present, and Future. Corporate Intrapreneurship. Corporate Spinouts. Corporate Venturing. Corporate Venturing with Venture Capitalist Participation. SEU. SEUs: A Combination of Old Models with a New Twist. Reverse SEU—The Start of Xerox. Anatomy of an SEU: Getting Between 0 and 100%. Facilitator—A VC without the Equity, Control, and Harvest Motivation Role of the Facilitator. Compensation—Providing More than a Salary. Equity Grants. What If It Doesn't Work?— Lifeline Back to Parent. Harvest: The Key Driver in Most Deals. Intellectual Property: Who Owns What? Financing: Expanding the Project Beyond the R&D Budget. Board of Advisors: Who Drives the Direction? Summary and Rationale of SEU. Summary.

7. Implementing the SEU.

When to Use an SEU. Technological Acquisition. New Product/Market Access. Cultural Change. Steps in Implementing the SEU. Selection of the Facilitator. What Type of Company Could be a Facilitator? Responsibilities and Duties of the Facilitator. The Facilitator in the SEU. SEU Equity and Distribution. New Venture Board. Implementation Summary.

8. Financing an SEU Venture.

Equation for Growth: Moving Big Company Risk Capital to SEU. Combine Low-Cost Funds with High-Return Ventures. Venture Financing Requires a “Portfolio Perspective”. Diversification: Different Ways to Reduce Risk. SEU Ventures Need to be Diversified by Year of Investment. SEU Ventures Do Not Focus on Harvest. SEU: Different Investment Orientation Focusing on Annual Return. Big Firms Should Provide Risk Capital to Small Firms and Charge the Market Rate. Large Companies Provide More than Just Cash—Catalysts for Growth. Efficient Utilization Is More Important than Cost of Funds. Perfect Fit: Small Firm Growth Orientation; Large Firm Resources.

9. Liquidity versus Liquidation: Cashing Out of the SEU.

Harvest Without Selling. Harvest Focuses Energy. Financiers Need a “Harvest”. Lessons Learned. Value Creation Sometimes Takes Time. SEUs Shift Orientation to an Owner's Mindset. Liquidity Is More Important than Harvest. Liquidity with an SEU Couldn't Be Easier. Fewer Harvests Means Lower Fees and More Focused Energies. Private to Public Conversion Creates Instant Value! SEU Value Does Not Depend on Appreciation of Parent's Stock. Slight Twist to an Old Approach.

10. Where Do We Go from Here? Jumpstarting the Process of Change.




Download the Index file related to this title.


Submit Errata

More Information

InformIT Promotional Mailings & Special Offers

I would like to receive exclusive offers and hear about products from InformIT and its family of brands. I can unsubscribe at any time.


Pearson Education, Inc., 221 River Street, Hoboken, New Jersey 07030, (Pearson) presents this site to provide information about products and services that can be purchased through this site.

This privacy notice provides an overview of our commitment to privacy and describes how we collect, protect, use and share personal information collected through this site. Please note that other Pearson websites and online products and services have their own separate privacy policies.

Collection and Use of Information

To conduct business and deliver products and services, Pearson collects and uses personal information in several ways in connection with this site, including:

Questions and Inquiries

For inquiries and questions, we collect the inquiry or question, together with name, contact details (email address, phone number and mailing address) and any other additional information voluntarily submitted to us through a Contact Us form or an email. We use this information to address the inquiry and respond to the question.

Online Store

For orders and purchases placed through our online store on this site, we collect order details, name, institution name and address (if applicable), email address, phone number, shipping and billing addresses, credit/debit card information, shipping options and any instructions. We use this information to complete transactions, fulfill orders, communicate with individuals placing orders or visiting the online store, and for related purposes.


Pearson may offer opportunities to provide feedback or participate in surveys, including surveys evaluating Pearson products, services or sites. Participation is voluntary. Pearson collects information requested in the survey questions and uses the information to evaluate, support, maintain and improve products, services or sites, develop new products and services, conduct educational research and for other purposes specified in the survey.

Contests and Drawings

Occasionally, we may sponsor a contest or drawing. Participation is optional. Pearson collects name, contact information and other information specified on the entry form for the contest or drawing to conduct the contest or drawing. Pearson may collect additional personal information from the winners of a contest or drawing in order to award the prize and for tax reporting purposes, as required by law.


If you have elected to receive email newsletters or promotional mailings and special offers but want to unsubscribe, simply email information@informit.com.

Service Announcements

On rare occasions it is necessary to send out a strictly service related announcement. For instance, if our service is temporarily suspended for maintenance we might send users an email. Generally, users may not opt-out of these communications, though they can deactivate their account information. However, these communications are not promotional in nature.

Customer Service

We communicate with users on a regular basis to provide requested services and in regard to issues relating to their account we reply via email or phone in accordance with the users' wishes when a user submits their information through our Contact Us form.

Other Collection and Use of Information

Application and System Logs

Pearson automatically collects log data to help ensure the delivery, availability and security of this site. Log data may include technical information about how a user or visitor connected to this site, such as browser type, type of computer/device, operating system, internet service provider and IP address. We use this information for support purposes and to monitor the health of the site, identify problems, improve service, detect unauthorized access and fraudulent activity, prevent and respond to security incidents and appropriately scale computing resources.

Web Analytics

Pearson may use third party web trend analytical services, including Google Analytics, to collect visitor information, such as IP addresses, browser types, referring pages, pages visited and time spent on a particular site. While these analytical services collect and report information on an anonymous basis, they may use cookies to gather web trend information. The information gathered may enable Pearson (but not the third party web trend services) to link information with application and system log data. Pearson uses this information for system administration and to identify problems, improve service, detect unauthorized access and fraudulent activity, prevent and respond to security incidents, appropriately scale computing resources and otherwise support and deliver this site and its services.

Cookies and Related Technologies

This site uses cookies and similar technologies to personalize content, measure traffic patterns, control security, track use and access of information on this site, and provide interest-based messages and advertising. Users can manage and block the use of cookies through their browser. Disabling or blocking certain cookies may limit the functionality of this site.

Do Not Track

This site currently does not respond to Do Not Track signals.


Pearson uses appropriate physical, administrative and technical security measures to protect personal information from unauthorized access, use and disclosure.


This site is not directed to children under the age of 13.


Pearson may send or direct marketing communications to users, provided that

  • Pearson will not use personal information collected or processed as a K-12 school service provider for the purpose of directed or targeted advertising.
  • Such marketing is consistent with applicable law and Pearson's legal obligations.
  • Pearson will not knowingly direct or send marketing communications to an individual who has expressed a preference not to receive marketing.
  • Where required by applicable law, express or implied consent to marketing exists and has not been withdrawn.

Pearson may provide personal information to a third party service provider on a restricted basis to provide marketing solely on behalf of Pearson or an affiliate or customer for whom Pearson is a service provider. Marketing preferences may be changed at any time.

Correcting/Updating Personal Information

If a user's personally identifiable information changes (such as your postal address or email address), we provide a way to correct or update that user's personal data provided to us. This can be done on the Account page. If a user no longer desires our service and desires to delete his or her account, please contact us at customer-service@informit.com and we will process the deletion of a user's account.


Users can always make an informed choice as to whether they should proceed with certain services offered by InformIT. If you choose to remove yourself from our mailing list(s) simply visit the following page and uncheck any communication you no longer want to receive: www.informit.com/u.aspx.

Sale of Personal Information

Pearson does not rent or sell personal information in exchange for any payment of money.

While Pearson does not sell personal information, as defined in Nevada law, Nevada residents may email a request for no sale of their personal information to NevadaDesignatedRequest@pearson.com.

Supplemental Privacy Statement for California Residents

California residents should read our Supplemental privacy statement for California residents in conjunction with this Privacy Notice. The Supplemental privacy statement for California residents explains Pearson's commitment to comply with California law and applies to personal information of California residents collected in connection with this site and the Services.

Sharing and Disclosure

Pearson may disclose personal information, as follows:

  • As required by law.
  • With the consent of the individual (or their parent, if the individual is a minor)
  • In response to a subpoena, court order or legal process, to the extent permitted or required by law
  • To protect the security and safety of individuals, data, assets and systems, consistent with applicable law
  • In connection the sale, joint venture or other transfer of some or all of its company or assets, subject to the provisions of this Privacy Notice
  • To investigate or address actual or suspected fraud or other illegal activities
  • To exercise its legal rights, including enforcement of the Terms of Use for this site or another contract
  • To affiliated Pearson companies and other companies and organizations who perform work for Pearson and are obligated to protect the privacy of personal information consistent with this Privacy Notice
  • To a school, organization, company or government agency, where Pearson collects or processes the personal information in a school setting or on behalf of such organization, company or government agency.


This web site contains links to other sites. Please be aware that we are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of each and every web site that collects Personal Information. This privacy statement applies solely to information collected by this web site.

Requests and Contact

Please contact us about this Privacy Notice or if you have any requests or questions relating to the privacy of your personal information.

Changes to this Privacy Notice

We may revise this Privacy Notice through an updated posting. We will identify the effective date of the revision in the posting. Often, updates are made to provide greater clarity or to comply with changes in regulatory requirements. If the updates involve material changes to the collection, protection, use or disclosure of Personal Information, Pearson will provide notice of the change through a conspicuous notice on this site or other appropriate way. Continued use of the site after the effective date of a posted revision evidences acceptance. Please contact us if you have questions or concerns about the Privacy Notice or any objection to any revisions.

Last Update: November 17, 2020