What is Diversification- Growth Strategy?

[vishakha-vartak]

Diversification is the growth strategy that involves launching new products or services on previously unexplored markets. It is the riskiest strategy, involving the marketing of new products and services on a unknown market.

Reasons-

1. Growth in business operations
2. Optimum utilization of resources
3. Escape unattractive industry environment

Types-

1. Horizontal
2. Vertical
3. Conecentric
4. Conglomerate