(Anti-theft, will be published in due ti.) Abstract: With technological progress and the coverage model of intelligent networks, the rise of the gaming industry in recent years has been evident to the public. The ways gas are propagated are no longer confined to rigid promotion models, and the influence of gas is gradually expanding to all aspects of life. Correspondingly, ga companies also need to continually integrate resources, innovate, and update with the rapid developnt of the tis to improve performance. Diversification strategy precisely ets the planning needs and developnt goals within the gaming industry. Under the backdrop of economic globalization, diversification strategy, as the preferred developnt model for enterprises, is also applicable to ga companies. This article expounds on the impact of diversification strategy on ga company performance using Sanqi Mutual Entertainnt Company as an example.
Keywords: Diversification strategy; Ga company; Performance; Impact; Sanqi Mutual Entertainnt Company
Diversification strategy is a market strategy tool employed by enterprises during their operations to capture new markets and explore new ones. It is also a strategic planning adopted to mitigate risks encountered in operating a single business and to make targeted and prepared entries into new business fields. Applying diversification strategy to ga companies can effectively improve company performance, bringing about a process from quantitative to qualitative changes for the developnt of ga companies.
1. Macro Background of Diversification Strategy
Entering 2021, under the effective control of the pandemic by the state, people's lives have resud normalcy, and the economic culture is also showing a promising recovery trend. On April 30, 2021, according to data published by the National Bureau of Statistics, the national cultural industry developnt has basically returned to the pre-pandemic level [1]. For the gaming industry, which accounts for a significant proportion of the cultural industry, this is extrely favorable news. Although the outbreak of the pandemic did not cause much impact on the gaming industry, the inability to conduct offline activities has always affected the performance of ga companies. With the warming up of the cultural industry, for most ga companies, this ans the great developnt and prosperity of the cultural industry can promote and drive more ga companies to embark on a path of sustainable developnt [2].
From the outbreak of last year's pandemic to the stabilization of the pandemic now, the state has issued relevant policies from various aspects such as finance, systems, and finance to support the developnt of the cultural industry. Although the pandemic has halted people's travels, it cannot control the speed of online network dissemination. An increasing number of new dia have erged, driving the developnt of the cultural industry during pandemic prevention and control. However, as various enterprises vie to enter the online market, the competition environnt within the cultural industry is extrely fierce. Many traditional offline enterprises could not withstand the impact of the pandemic and were eliminated by society, but in this short span of two years, many successful transformations in the cultural industry have erged, most of which relied on the diversification strategy model to accelerate transformation and upgrading. During the pandemic prevention and control period, with the noticeable increase in residents' consumption levels, they also achieved substantial gains, obtaining more diverse developnt models and inco channels. The transformation made by Sanqi Mutual Entertainnt Company during the pandemic prevention period is worth learning from for 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 pioneer of strategic managent. In his book "Corporate Strategy," he ntioned the classification of diversification strategies. This world-influencing strategy model is included in the managent policies of many countries, to the extent that every enterprise, large and small, today seeks a place according to the developnt model of diversification strategy [4].
(2) Classification and aning of Diversification Strategy
Diversification strategy is divided into four types: horizontal diversification, vertical integration, concentric diversification, and conglorate diversification. The four different modes derived from diversification strategy have different anings. Horizontal diversification refers to enterprises using the original conditions provided by the market to produce new products that et new user demands, thereby driving market consumption. Vertical integration is based on the enterprise's own developnt situation and involves deriving vertically and penetrating the product industry chain into other market fields to seek new consurs. Concentric diversification focuses more on innovation of existing technology, requiring the production of new products within the existing production scope, achieving transformation through the tamorphosis of existing technology. Conglorate diversification emphasizes expanding operational scope changes, requiring the enterprise to expand its operational scope by connecting factors related to its own products such as raw materials, technology, and markets [5].
3. Impact of Diversification Strategy on Ga Company Performance
In the operation process of all ga companies, the impact of diversification strategy on ga company performance is divided into two parts: changes in operational mode and shifts in strategic planning. These two parts' changes gradually produce effects that drive the enhancent of the company's performance. The impact brought by diversification strategy is multifaceted. 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 very extensive. This is also due to the advantages brought by diversification strategy. The company's business not only involves the operation of interactive entertainnt, but Sanqi Mutual Entertainnt Ga Company also oversees the developnt and distribution of mobile gas and web gas in one go. In recent developnts, it has constantly innovated by keeping up with contemporary technology, expanding the market to lay out films and animation ACG (ani, comic, ga) and also shaping Sanqi Mutual Entertainnt Ga Company's market cultural industry chain in various general entertainnt businesses such as music, VR technology, and live streaming.
Sanqi Mutual Entertainnt Ga Company was founded in 1995, but its early developnt path was not smooth. The predecessor of Sanqi Mutual Entertainnt Ga Company was a small enterprise. Initially, the industry chain of Sanqi Mutual Entertainnt did not involve the operation of gas and other entertainnt industries and was always at risk of being swallowed by the market. However, relying on the steady developnt of a single industry, Sanqi Mutual Entertainnt Company was listed in 2011, but with poor subsequent operations and market contraction, Sanqi Mutual Entertainnt ultimately did not escape the fate of being acquired.
In 2014, Wuhu Shunrong Auto Parts Co., Ltd. acquired 60% equity of Shanghai Sanqi Mutual Entertainnt Technology Co., Ltd. Although it was technically an acquisition, for Sanqi Mutual Entertainnt, this was a developnt opportunity worth seizing. The two companies completed the asset restructuring of various industries through multi-faceted cooperation. It is worth ntioning that the strategic tactics consistently operated by Sanqi Mutual Entertainnt had already begun to show promise. Sanqi Mutual Entertainnt Company transford from a single modern cultural creativity company before being acquired to a dual-main business listed company of advanced production manufacturing and modern cultural creativity that operate in parallel. Corresponding to this, the company operation strategy of Sanqi Mutual Entertainnt has also been changing, with the business scope covered by the original cultural and creative industries being...
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