which is best inorganic or organic growth inorganic growth such as a boost from acquisitions can provide a short term boost however steady and slow organic growth can be viewed as superior as it shows the company has the ability to make money regardless of the economic backdrop plus there s the downside of potentially using debt to fund inorganic growth on the flipside inorganic growth might not fully repair declining organic growth or internal issues 
one of the most important measures of performance for fundamental analysts is growth particularly in sales sales growth can be the result of promotional efforts new product lines and improved customer service which are internal or organic measures growth in organic sales is often described in terms of comparable sales or same store sales when referring to retail outlets in other words these sales occur naturally and not through the acquisition of another company or the opening of new stores some analysts consider organic sales to be a better indicator of company performance a company may have positive sales growth due to acquisitions while same store sales growth may decline due to a decrease in foot traffic analysts research organic sales by analyzing inorganic sales growth advantages and disadvantages of inorganic growthif a company merges with another in pursuit of inorganic growth that company s market share and assets become larger this offers immediate benefits such as the additional skills and expertise of new staff and a greater likelihood of obtaining capital when needed as well it allows a company to grow much faster and almost immediately increase its market share however there are disadvantages in that additional management is required the direction of the business may go in an unanticipated direction there may be additional debt or a company could grow too quickly incurring substantial risk the downsides to inorganic growth is the large upfront costs and management challenges with integrating acquisitions 