Conglomerate Diversification

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Conglomerate Diversification (Unrelated Diversification) is a form of diversification in which a firm acquires a business to reduce cyclical fluctuations in cash flows or revenues.

Definition

According to the Strategic Management by Parnell (4th edition),

Conglomerate Diversification (Unrelated Diversification). A form of diversification in which a firm acquires a business to reduce cyclical fluctuations in cash flows or revenues.