What is Growth Rate?

A definition of Growth Rate

“Growth rate refers to the percentage increase in the size or value of a business, population, or economy over a specified period. It’s a vital metric for assessing the health and expansion potential of an entity.”

Growth Rate in Business Glossary - What is a Growth Rate?

Business Glossary > What is Growth Rate?


Examples of Growth Rate in a Sentence:

The growth rate of our company has been exceptional this year.

Analysts predict a high growth rate for the emerging market.

Investors look for companies with a solid growth rate.

Why is Growth Rate Important in Business?

Understanding growth rate is crucial for identifying opportunities and challenges in business expansion. It helps stakeholders gauge the effectiveness of strategies and make informed decisions regarding investments, scaling operations, and resource allocation.

Know Your Niche Inside Out by Tomorrow: Learn everything you need to know about a niche from a report rushed to you in 24 hours, (or spend the next 3 weeks researching).

Associated Terms

Here are some associated business terms and synonyms for “Growth Rate”:

  • Expansion Rate
  • Increase Rate
  • Development Rate

Amazon Growth Rate

Amazon’s impressive growth rate over the past decades has been driven by expanding its product offerings, entering new markets, and leveraging technological innovations. This has enabled Amazon to sustain a dominant position in the global e-commerce industry.

Final Notes on Growth Rate

Entrepreneurs and business leaders should understand how to calculate and interpret growth rate to forecast potential opportunities. Recognizing trends in growth rates assists in strategic planning and risk management.


This has been a definition of Growth Rate meaning.

Explore more from our Business Term Glossary for Entrepreneurs