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Two Types of
Diversification |
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Three Forms of
Diversification |
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Vertical
Integration
– integrating business along your
→
value chain, both upstream and downstream, so that one efficiently
feeds the other
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Horizontal Diversification
– moving into more than one industry; the new business usually
somehow relates to the existing one, although a few conglomerates
instead pursue a strategy of unrelated diversification
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Geographical Diversification
– moving into new geographical area to overcome limited growth
opportunities in the local market and/or to gain global leadership
positions
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Means of Diversification |
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Do It
Yourself
Do It
with Others
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Capitalize on Your Core
Competencies
Your company's
core competencies –
things that you can do better than
→
your competitors – can often be extended to
products or markets beyond those in which they were originally developed.
Such extensions represent excellent
→
opportunities for diversification. Any core competence that meets the following
three requirements provides a viable basis for your corporation to create or
strengthen a new strategic business unit (SBU)2:
-
The core competence must translate into a
meaningful
competitive advantage.
-
The new business unit must have enough
similarity to existing businesses to benefit from your corporation's
core competencies.
-
The bundle of competencies should be difficult for competition to
imitate.
 Business
e-Coach
Invented in 2001,
→
Ten3 Business e-Coach
has customers all around the World and
licensed trainers in 50+ countries. To create
→
greater value for
diverse groups of users,
I have gradually built
a
→
synergistic
network of diversified e-coaching sites.
Each site focuses on a chosen set of
life values
and/or
→
business
interests.
Together with partners, we
synergized e-Coach and Cimcoin to create further value for people
and build an amazing an joyful e-world
CimJoy...
More
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