The advantages and disadvantages of conglomerate diversification are as follows: Advantages of conglomerate diversification a. Risk spreading ? entering new products into new markets offers protection against failure of current products and markets. b. High profit opportunities ? Ability to move into high growth profitable industries especially important if current industry is in decline. c. Escape ? from the present business if competition is too hot! d. Better access to capital markets. Disadvantages of conglomerate diversification a. The dilution of shareholders earnings if diversification is into growth industries with high P/E ratios. b. Lack of a common identity and purpose in a conglomerate organization. A conglomerate will be successful only if it has high quality of management and financial ability at head office where diverse operations are brought together. c. Failure in one business will drag down the rest. d. Lack of management experience..
Hell to the prof
Agriculture diversification refer to the policy of a country to change the production of one major crop
Diversification is when someone's tight clit is sniffed and integration is when the clit is jizzed on
Concentric Diversification
5 years plan Nepal adopted trade diversification
to maximize the profit
advantages 1. more money 2.more jobs 3.tourism disadvantages 1.no local support 2.misuse of funds 3.imbalance of trade
disadvantages- unlikely economic benefits will be generated for the target or the bidder advantages- diversification
Charlene Henderson-Brewster has written: 'Diversification of the Caribbean banana industry' -- subject(s): Agricultural diversification, Banana trade, Banana products
Foot Locker Vision Statement:"Global diversification is a vital component of the Company's strategic positioning. This diversification is unique in the athletic footwear and apparel industry and provides many distinct advantages."
Foot Locker Vision Statement:"Global diversification is a vital component of the Company's strategic positioning. This diversification is unique in the athletic footwear and apparel industry and provides many distinct advantages."
Foot Locker Vision Statement: "Global diversification is a vital component of the Company's strategic positioning. This diversification is unique in the athletic footwear and apparel industry and provides many distinct advantages."
advantages of foreign trade multiplier
Naughty M.Com student, you should refer to the textbook..... MA
There are two main reasons to diversify: # diversification may benefit the firm's owners through increasing the efficiency of the firm # diversification decisions may reflect the preferences of the firm's managers Shareholder motivation for diversification: * econonomies of scale and scope * to gain synergies * to make use of internal capital markets * to diversify shareholder portfolios * to economise on transaction costs * identifying undervalued firms * when there is excess capacity * internal labour market * brand extension Management Motives: * pecuniary advantages * non-pecuniary (such as ego, social standing etc)
McCarthy John-Baptiste Marie has written: 'Agricultural diversification in a small economy' -- subject(s): Agricultural diversification, Agriculture, Banana trade, Economic aspects of Agriculture