Advantages : The business can spread risk. If one market fails, the losses can be compensated for by profits in another., It can overcome seasonal fluctuations in their markets and have more consistent year-round sales., The business is larger and therefore more financially secure., The buyer acquired the assets of the other companies., The business gains the customers and sales of the acquired business., Disadvantages: One business may take on another in he market they know nothing about and this may cause the new business to fail., Having too many products across different markets can cause the company to lose focus on core activities, impacting on other products., The business may become too large and inefficient to manage.,

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