Diversification where they also have different categories

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We have three levels of diversification where they also have different categories. The first level is the low levels of diversification. This covers single ano dominant businesses. For single businesses, 95% of revenue comes from a single business. For dominant businesses, between 70% and 95% of revenue comes from a single business. The second level is "Moderate to high levels of Diversification" and includes related constrained and related linked. Related constrained less than 70% of revenue comes from dominant businesses, and all businesses share product, technology and distribution. For related linked, less than 70% of revenue comes from limited links between businesses. Finally, the final level is "Very High levels of diversification. This means that for unrelated, 70% of revenue comes from dominant businesses, and there are no common links between any businesses. This is the most popular strategy to increase value by improving overall performance.

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Reference no: EM131639763

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