<P> In diversification an organization tries to grow its market share by introducing new offerings in new markets . It is the most risky strategy because both product and market development is required . ( i ) Related Diversification - Here there is relationship and , therefore , potential synergy , between the firms in existing business and the new product / market space . ( a ) Concentric diversification , and ( b ) Vertical integration . ( ii ) Unrelated Diversification : This is otherwise termed conglomerate growth because the resulting corporation is a conglomerate , i.e. a collection of businesses without any relationship to one another . A strategy for company growth through starting up or acquiring businesses outside the company 's current products and markets . </P>
<P> In diversification an organization tries to grow its market share by introducing new offerings in new markets . It is the most risky strategy because both product and market development is required . ( i ) Related Diversification - Here there is relationship and , therefore , potential synergy , between the firms in existing business and the new product / market space . ( a ) Concentric diversification , and ( b ) Vertical integration . ( ii ) Unrelated Diversification : This is otherwise termed conglomerate growth because the resulting corporation is a conglomerate , i.e. a collection of businesses without any relationship to one another . A strategy for company growth through starting up or acquiring businesses outside the company 's current products and markets . </P>
creating new products for new markets is called
creating new products for new markets is called
diversification
diversification