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Diversification Strategy and Performance

The document is a student paper that discusses the relationship between a company's diversification strategy, its external environment, and performance. It defines diversification strategy and outlines different levels of diversification. The paper also reviews empirical research finding a linkage between diversification, the environment a company operates in, and its financial performance. It then uses McDonald's as a case study example to illustrate how the fast food chain has diversified its business in response to changes in its external environment.

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Prajanu Ana
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4 views2 pages

Diversification Strategy and Performance

The document is a student paper that discusses the relationship between a company's diversification strategy, its external environment, and performance. It defines diversification strategy and outlines different levels of diversification. The paper also reviews empirical research finding a linkage between diversification, the environment a company operates in, and its financial performance. It then uses McDonald's as a case study example to illustrate how the fast food chain has diversified its business in response to changes in its external environment.

Uploaded by

Prajanu Ana
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOC, PDF, TXT or read online on Scribd

The Diversification Strategy-EnvironmentPerformance linkage

Strategic Management Theoretical Concepts and Empirical Results


Dozent: Johana Jobst
Politik- und Verwaltungswissenschaften
Universitt Konstanz
Student: Ana-Maria Prajanu
Student ID: 01/818381

Wintersemester 2011/12

I.

Introduction

.. 1

II. Theoretical framework ......1

II.1 Diversification Strategy- definition ..1


II.2 Differences between levels of diversification ...3
III. The Diversification-Environment- Performance linkage .5

III.1 The relevance of the environment in strategic management ...6


III.2 Empirical findings ...7
IV. Case study McDonald`s

10
IV.1 McDonalds and its external environment ... 11
IV.2 The diversification strategy of McDonald`s ..14
V. Implications .16

References .16

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