Effect of business diversity on it productivity.

[TOZZIBLINKZ]

Business diversity and productivity definitely has a relationship between each other . A productive business can only diversify but a business that is considered to be unproductive cannot be diversified . You have to wait until your business productivity is a massive returns and quantity before actually trying to diversify in your business . Business diversification according to commercial textbooks refers to the situation where a particular business organisation chooses to expand its sectors and tiers possibly to another business environment making it more expansive for individuals to patronize the business and for other individuals not staying within the present business environment to have a share of what the business has to offer in it new environment .

One of the major thing that majority of business owners do when trying to diversify in business is the process where they diversify too soon . A newly established business is not expected to diversify to soon who first of all impact the lives and the existence of individual living in its present environment in order to see whether what it has to offer is acknowledged and patronizable by members of the public , it is only after this then it is a price of a business owner to actually diversify in his or her business .

 

[CALVINDOL]

It has never been wrong for an individual to diversify in business but one of the wrong thing people do when diversifying their business is that they diversify too early in business . A newly established business that has just been implemented or established in an environment which has not even settle down in order to gain the recognition and the notice of members of the public cannot go on to diversify and that is because the business owners and operators of the business organisation have not been able to specify whether what they have to offer is accepted by members of the public .

Before diversifying in business a business owner or business manager should be able to know whether his business makes more than expected amount of profit and also the business in particular should be able to earn the notice and recognition of members of the public , failure to do this simply means that the business cannot go ahead to diversify .