Definition
Constant growth model is the valuation method assuming dividends or earnings grow at a constant rate. Founders reach for it when a vague conversation needs a shared, specific meaning. Name it clearly, then let the next decision — a hire, a price, a test, or a pass — follow from that meaning.
In the room
How the word shows up in a real conversation.
In a Monday review, someone writes Constant growth model on the board and restates it: “Valuation method assuming dividends or earnings grow at a constant rate.” The next move is a test, a cut, or a double-down — not another debate about the word.
Common mistake
Using Constant growth model as a label instead of a fact. If you cannot point to the evidence — a number, a customer, or a written assumption — you are using the word as jargon.
See also
Consignment
Business arrangement where goods are sold on behalf of the owner.
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Consolidation
Process of combining multiple companies or business units into one entity.
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Consumer
Individual or organization that purchases goods or services for personal use.
Read definition →
Consumer behavior
Study of how individuals make decisions about purchasing products and services.
Read definition →
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