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P3知识点:Product/Market Diversity
  • 2018年06月01日
  • 15:47
  • 作者:高顿财经
  • 来源:高顿财经
  • 阅读:(166)
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摘要:【高顿ACCA小编】2015年 ACCA 考试即将开始,我们将第一时间公布考试相关内容,请各位考生密切关注高顿ACCA,预祝大家顺利通过ACCA考试。今天为大家带来的...
   【高顿ACCA小编】2015年ACCA考试即将开始,我们将第一时间公布考试相关内容,请各位考生密切关注高顿ACCA,预祝大家顺利通过ACCA考试。今天为大家带来的是P3知识点:Product/Market Diversity。小编再送一个考试资料包,可以分享给小伙伴,自提,戳:ACCA资料【新手指南】+内部讲义+解析音频

  1 Diversification
 
  A parent's ability to add value through its resources and competences determines whether it should diversify in a particular direction. Diversification may be either related to the product or unrelated to the product.
 
  1.1 Advantages of Diversification
 
  Economies of scale may arise through synergy (e.g. in marketing, operations, investment, management, etc);
 
  Corporate managerial capabilities may be expandable (e.g. Virgin);
 
  Increased market power through cross-synergy;
 
  Ability to cross-subsidise, allowing parents to use the surpluses of one product to benefit the company and customers in the short term.*
 
  Diversification due to environmental change;
 
  Risk spreading; and
 
  Expectation of powerful stakeholders including powerful managers.
 
  1.2 Disadvantages of Diversification
 
  Time and costs involved in top management at the corporate level trying to ensure that the benefits are achieved through sharing or transfer across business units; and
 
  Difficulty for SBU managers to adapt to corporate-wide policies (strategies), especially when they are rewarded on the basis of performance of their own business unit.
 
  2 Related Diversification
 
  A firm may choose diversification related to an existing product with vertical integration, both forward and backward, and horizontal integration.
 
  2.1 Forward Vertical Integration
 
  Forward vertical integration means moving into product/ market areas previously occupied by the organisation's customers.
 
  Sometimes called "downstream" integration, this can be pursued either by acquisition or by organic growth.
 
  2.2 Backward Vertical Integration
 
  Backward vertical integration means moving into product/market areas previously occupied by the organisation's suppliers. Sometimes called "upstream" integration, this also can be pursued either by acquisition or by organic growth.
 
  2.3 Horizontal Integration
 
  Companies integrate horizontally by using current capabilities to develop activities and product lines that are competitive with or directly complementary to the company's present activities.
 
  It means specifically the merger with, or acquisition of, rival organisations.
 
  3 Unrelated or Conglomerate Diversification
 
  Conglomerate diversification introduces the company to unrelated product and market areas, which are likely to be beyond the current capabilities or value networks.
 
  Although it can be pursued by organic growth, normally it is an acquisition strategy.

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