Diversification is a development strategy that involves businesses entering into additional operation lines different from the current production. This is considered a powerful tool of business due to the reduction of business risks and increased levels of competitive advantage associated (Hitt, Ireland and Hoskisson, 2010). While diversification may not guarantee performance, it eliminates the risks of investment loss and mitigates loss on the downward side. Different diversification strategies include; horizontal, vertical, concentric, conglomerate and corporate diversification. The determining factor on the diversification measure to adapt usually depends on the size of a business and expected growth. The whole concept of diversification ...
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