(Anti-theft, send it in ti.) Abstract: With technological progress and the coverage model of intelligent networks, the rise of the ga industry in recent years is evident to everyone. The dissemination of gas is no longer confined to rigid promotional modes, and the influence of gas has gradually expanded to various aspects of life. Correspondingly, ga companies need to continuously integrate resources, innovate, update, and improve performance in line with the rapid developnt of the era. A diversification strategy fits well with the planning needs and developnt goals within the ga industry. Against the background of economic globalization, the diversification strategy, as the preferred developnt mode for enterprises, is also applicable to ga companies. This article explains the impact of the diversification strategy on the performance of ga companies by taking Sanqi Mutual Entertainnt Company as an example.
Keywords: Diversification Strategy; Ga Company; Performance; Impact; Sanqi Mutual Entertainnt Company
Diversification strategy is a market strategic approach adopted by enterprises during operations to occupy new markets and explore new markets more effectively. It is also a strategic plan for enterprises to enter new business areas with targeted preparation to avoid the risks encountered in operating a single business. Applying a diversification strategy to ga companies can effectively improve company performance and bring about a process of transformation from quantitative to qualitative change for the developnt of ga companies.
1. Macro Background of Diversification Strategy
Stepping into 2021, under the strong control of the pandemic by the country, people's lives have returned to normalcy, and the economy and culture have shown a prosperous recovery trend. On April 30, 2021, according to data released by the National Bureau of Statistics, the developnt of the cultural industry nationwide has basically returned to the level before the pandemic [1]. This is very favorable news for the ga industry, which occupies a large proportion of the cultural industry. Although the pandemic has not greatly impacted the ga industry, the inability to conduct offline activities has always affected the performance of ga companies. The warming of the cultural industry ans, for most ga companies, that the great developnt and prosperity of the cultural industry can promote and drive more ga companies onto the path of sustainable developnt [2].
From the outbreak of the pandemic last year to the current stability, the country has issued relevant policies to support the developnt of the cultural industry from multiple aspects such as finance, systems, and finance. Although the pandemic has blocked people's travel paths, it cannot control the speed of online network dissemination. More and more new dia have erged, promoting the cultural industry developnt during the pandemic prevention period. However, due to the desire of enterprises to enter the online market, the competitive environnt among the cultural industries has beco very fierce. Many traditional offline enterprises could not withstand the impact of the pandemic and were eliminated by society. Yet, in these short two years, many successful transformations in the cultural industry have erged. These enterprises have mostly relied on the diversification strategy model to accelerate transformation and upgrading and have also gained significantly in residents' consumption levels, attracting more diverse developnt models and sources of inco, such as the transformation of Sanqi Mutual Entertainnt Company during the pandemic prevention period, which is worth emulating by most ga companies [3].
2. Brief Analysis and Classification of Diversification Strategy
(1) Brief Analysis of Diversification Strategy
Diversification strategy was proposed by Igor Ansoff, the father of strategic managent. In his book "What Is Corporate Strategy," he ntioned the classification of diversification strategies. This world-influencing strategy model is involved in managent policies in multiple countries, so today all enterprises, large and small, seek a place according to the developnt model of diversification strategy [4].
(2) Classification and aning of Diversification Strategy
There are four types of diversification strategy: horizontal diversification, vertical integration, concentric diversification, and conglorate diversification. The anings of the four different models derived from the diversification strategy also vary. Horizontal diversification refers to the enterprise using the original conditions provided by the market to produce new products that can et the new needs of users, thereby driving market consumption. Vertical integration is when the enterprise develops vertically based on its developnt situation, using the product industry chain to penetrate other market fields seeking new consur objects. Concentric diversification focuses more on original technology innovation, requiring new product production within the original production range, achieving the whole process through the transformation of original technology. Conglorate diversification pays more attention to expanding operational range changes, requiring enterprises to relate raw materials and technologies associated with their own products and market factors to expand the operational scope [5].
3. Impact of Diversification Strategy on Ga Company Performance
It can be said that in the operation process of all ga companies, the impact of diversification strategy on ga company performance is unified into two parts: changes in operational mode and shifts in strategic planning. The effects gradually produced from these two parts promote enhanced performance for the company. The impact brought by the diversification strategy is manifold. This paper will take Sanqi Mutual Entertainnt Ga Company as an example to analyze and study the impact of diversification strategy on ga company performance [6].
(1) Changes in Operational Mode
Currently, the main operational scope of Sanqi Mutual Entertainnt Ga Company is quite extensive, which also relies on the advantages brought by the diversification strategy. The company's business not only involves the operation of interactive entertainnt, but also Sanqi Mutual Entertainnt Ga Company independently handles the research and developnt and distribution of mobile gas and web gas. In recent years, keeping pace with technological advancents, the company continuously innovates and expands its market layout to include film and television, and ACG (Ani, Comic, and Gas) culture. It is also establishing its market cultural industry chain in various entertainnt businesses such as music, VR technology, and various live broadcasts.
Sanqi Mutual Entertainnt Ga Company was established in 1995. However, the initial developnt path was not smooth. Sanqi Mutual Entertainnt Ga Company's predecessor was a small enterprise. At first, its industrial chain did not involve the operation of ga and other entertainnt industries, with the risk of being swallowed by the market at any ti. Yet, relying on the steady developnt of a single industry, Sanqi Mutual Entertainnt Company was listed in 2011. However, with poor operations and market contraction in later stages, Sanqi Mutual Entertainnt could not escape the fate of acquisition.
In 2014, Wuhu Shunrong Auto Parts Co., Ltd. acquired Shanghai Sanqi Mutual Entertainnt Technology Co., Ltd. with 60% equity. Although it was acquired nominally, for Sanqi Mutual Entertainnt, this was a developnt opportunity worth seizing. Through multi-party cooperation, the two companies completed the asset restructuring of various industries. It is worth ntioning that the diversified strategy that Sanqi Mutual Entertainnt always operated began to show its promise at this ti. Sanqi Mutual Entertainnt Company transford from a single modern cultural creative company before the acquisition to a dual-main business listed company in advanced manufacturing and modern cultural creativity. Correspondingly, the company's operational strategy in Sanqi Mutual Entertainnt also underwent changes, and the business scope covered by the previous cultural creative industry...
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