This article explores some of the key considerations in diversifying the firm – the benefits of increasing firm scope, as well as the risks associated with operating in different areas.
Latest articles on diversification
The benefits of related diversification
This article explores the advantages of related diversification – the benefits of synergy from increasing the scope of the firm.
5 Disadvantages of unrelated diversification
This article explores some of the key limitations of unrelated diversification, and why is it rarely associated with success.
Horizontal vs vertical integration: Examining the differences
This article explains the difference between horizontal integration, or diversification, and vertical integration.
Paper synergies, and why supposed synergies often don’t materialize
This article explores some of the reasons for the discrepancy between expected and realized benefits when firms diversity or merge with others.
The better off test in diversification decisions
What is the better off test, and why is it important in diversification decisions? This article explores why it is important to assess whether the two areas are better off in one firm vs two when diversifying.
What is the attractiveness test in diversification decisions?
This article explores the attractiveness test in determining whether to diversify and enter a new industry.
Examples of revenue-enhancing synergies
This article considers ways diversification can opportunities to increase sales, with examples of revenue-increasing synergies.
What is the cost of entry test with diversification?
Will a company be able to afford the cost of diversifying? The cost of entry test is an important consideration when considering diversification decisions.
Do you have the resources and capabilities to diversify?
Whether you have the necessary resources and capabilities is important to consider before diversification. This article explores why it is important to assess your capabilities before expanding.
Related vs unrelated diversification
What is the difference between related diversification and unrelated diversification? This article explores the key difference
What are synergies in diversification?
This article examines the meaning behind synergies in diversification and where the savings and advantages come from.
Examples of cost saving synergies: Cost reductions through diversification
Where do cost-saving synergies come from? This article explores opportunities for savings from related diversification.
Why is the cost of entry test important when considering diversification?
Explore the need for considering the cost of entrance test when diversifying to a new industry.
What is unrelated diversification?
This article explains unrelated diversification – what it is, key issues with it, and how to recognize unrelated diversification.
The importance of the better off test for diversification decisions
Why is the better off test important when diversifying? ‘This article examines its role in assessing diversification decisions.
Different types of related diversification
From related by customers to related by resources, this article considers different approaches to related diversification.
The benefits of related diversification
This article explores the advantages of related diversification – the benefits of synergy from increasing the scope of the firm.
5 Disadvantages of unrelated diversification
This article explores some of the key limitations of unrelated diversification, and why is it rarely associated with success.
Horizontal vs vertical integration: Examining the differences
This article explains the difference between horizontal integration, or diversification, and vertical integration.
Paper synergies, and why supposed synergies often don’t materialize
This article explores some of the reasons for the discrepancy between expected and realized benefits when firms diversity or merge with others.
The better off test in diversification decisions
What is the better off test, and why is it important in diversification decisions? This article explores why it is important to assess whether the two areas are better off in one firm vs two when diversifying.
What is the attractiveness test in diversification decisions?
This article explores the attractiveness test in determining whether to diversify and enter a new industry.
Examples of revenue-enhancing synergies
This article considers ways diversification can opportunities to increase sales, with examples of revenue-increasing synergies.
What is the cost of entry test with diversification?
Will a company be able to afford the cost of diversifying? The cost of entry test is an important consideration when considering diversification decisions.
Do you have the resources and capabilities to diversify?
Whether you have the necessary resources and capabilities is important to consider before diversification. This article explores why it is important to assess your capabilities before expanding.
Related vs unrelated diversification
What is the difference between related diversification and unrelated diversification? This article explores the key difference
What are synergies in diversification?
This article examines the meaning behind synergies in diversification and where the savings and advantages come from.
Examples of cost saving synergies: Cost reductions through diversification
Where do cost-saving synergies come from? This article explores opportunities for savings from related diversification.
Why is the cost of entry test important when considering diversification?
Explore the need for considering the cost of entrance test when diversifying to a new industry.
What is unrelated diversification?
This article explains unrelated diversification – what it is, key issues with it, and how to recognize unrelated diversification.
The importance of the better off test for diversification decisions
Why is the better off test important when diversifying? ‘This article examines its role in assessing diversification decisions.
Different types of related diversification
From related by customers to related by resources, this article considers different approaches to related diversification.