About “Managing Diversification,” many studies on diversification strategy have focused on what type of
diversification (typically “related” versus “unrelated”) leads to top performance, when applying varying
measures of performance success. Fewer studies focus explicitly on the management of diverse
businesses.
Given your textbook readings about diversification and real-life experiences on the “diversificationperformance” link, use this thread to discuss what challenges, opportunities and MOTIVATIONS are
attached to the management of diversified businesses. USE GOOGLE OR YAHOO FOR HELP.
How does effective management of diversity contribute to the (probability of) relative success of “related”
and “unrelated” acquisition strategies? Is one form of diversification (“related” and “unrelated”) better than
the other?
And, how much diversity is there in JPMorgan Chase’s portfolio, which caused them to give CEO Jamie
Dimon a 74-percent pay raise despite it paying out, also, about $20 billion in the recent past to settle
several legal and regulatory issues. Look at the announcement made by the company on January 24,
2014: (http://www.politico.com/story/2014/01/jamie-dimon-gets-a-big-raise-102570.html#ixzz2rRaYRCH1)