Business Choice of Enterprises＇ Diversification

The strategy of diversification has become an important approach to enterprise development A successful diversification strategy depends mainly on the correct business choice. Before choosing a new business, we must identify the core competeneies of the enterprise and research the attraction and criticai success factors of the target business. Then we should make sure whether the core competencies match the critical success factors or not.The new business should be useful for cuitivating sustainable competitive advantage.