There are different philosophy in Business Management. I believe in focus. Staying within our core competence. Jim Collins in Good-to-Great call this Hedgehog and the Fox concept. The Hedgehog know one big thing and the Fox know many things. Everytime there is danger in environment, the Hedgehog will withdraw and bristle out all it quills. The Fox in contrast will try out many different things.
Although our past results has been good and consistent, my soon-to-be ex-boss point out the risks of having one big business. Diversify to spread the risk he points out. Instead of celebrating success of strong performance and copying it, he worry that it is not diversified enough. Warren Buffer, the wealthiest fund manager has these words "Putting all your eggs in many baskets reduce risks and also RETURNS, I put all my eggs in a few baskets and watch it."
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