Seattle, home to Theo Chocolate, experiences around 155 days of rain per year. CEO of Theo, Joe Whinney, recently purchased a umbrella company which will produce umbrellas in various colors and sizes. This is an example of:

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14-04-2022
Business

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Seattle, home to Theo Chocolate, experiences around 155 days of rain per year. CEO of Theo, Joe Whinney, recently purchased a umbrella company which will produce umbrellas in various colors and sizes. This is an example of:

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Tundexi Tundexi · Answer 1 · 2022-04-26T12:04:50+02:00

An example of unrelated diversification is when Joe purchased the umbrella company to produce umbrellas in various colors and sizes because of the rain.

What is an unrelated diversification?

This means the situation whereby a firm enters an industry that lacks any important similarities with the firm's existing industry or industries.

Therefore, Joe purchasing the umbrella company to produce umbrellas in various colors and sizes is an example of unrelated diversification.

Read more about unrelated diversification

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