(Anti-theft, to be posted later.) Abstract: With the advancent of technology and the pervasive model of intelligent networks, the rise of the gaming industry in recent years is evident to the public. The thods of ga dissemination are no longer confined to stereotypical promotional models, and the influence of gas has gradually expanded to various aspects of life. Correspondingly, gaming companies need to continuously integrate resources, innovate iterations, and improve performance along with the rapid developnt of the era. Diversification strategy aptly ets the planning needs and developnt goals within the gaming industry. Against the backdrop of economic globalization, diversification strategy, as the preferred mode of enterprise developnt, is equally applicable to ga companies. This article takes Sanqi Mutual Entertainnt Company as an example to illustrate the impact of diversification strategy on a ga company's performance.
Keywords: Diversification strategy; Ga company; Performance; Influence; Sanqi Mutual Entertainnt Company
Diversification strategy is a market strategy ans that enterprises adopt in order to capture and explore new markets during the operation process. It is also strategic planning that enterprises use to avoid the risks encountered in operating a single business and enter new business fields with targets and preparedness. Applying diversification strategy practically to ga companies can effectively improve company performance, bringing about a transformation from quantitative change to qualitative change in the company's developnt.
1. Macro background of diversification strategy
Entering 2021, with the country's effective control over the pandemic, people's lives are returning to normal. The economic and cultural sectors also present a great recovery trend. On April 30, 2021, according to relevant data released by the National Bureau of Statistics, the developnt of the national cultural industry has basically returned to pre-pandemic levels [1]. This is very good news for the gaming industry, which is a significant part of the cultural industry. Although the pandemic did not greatly impact the gaming industry, the inability to conduct offline activities has always affected the performance of gaming companies. The warming of the cultural industry implies that for most gaming companies, the cultural industry's great developnt and prosperity can promote and drive more gaming companies towards a path of sustainable developnt [2].
From last year's outbreak to now, with the pandemic stabilized, the country has issued relevant policies to support the developnt of the cultural industry from various aspects such as finance, institutions, and finance. Although the pandemic blocked people's travel, it could not control the speed of online network dissemination. More and more new dia have erged, driving the developnt of the cultural industry during the pandemic prevention period. However, as each enterprise wants to squeeze into the online market, the competitive environnt within the cultural industry is very fierce. Many traditional offline enterprises could not withstand the pandemic's impact and were eliminated by society. Yet, in just two short years, many cultural industries successfully transford. Most of these enterprises relied on a diversification strategy model to accelerate transformation and upgrading. During the pandemic prevention period, when residents' consumption levels significantly increased, they also reaped considerable gains, gaining more diverse developnt models and funding sources. For example, the transformation made by Sanqi Mutual Entertainnt Company during the pandemic prevention period is worth learning from for most gaming 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 "Corporate Strategy," he ntioned the classification of diversification strategies. This world-influencing strategic model is involved in the managent policies of multiple countries, so that today every large and small enterprise seeks to gain a foothold by following 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 model connotations derived from the diversification strategy also differ. Horizontal diversification refers to enterprises using the original conditions provided by the market to produce new products that can et users' new demands, thus driving market consumption. Vertical integration is when enterprises derive vertically according to their developnt situation and use the product industry chain to penetrate other market fields to seek new consurs. Concentric diversification focuses more on the innovation of existing technology, requiring the production of new products within the existing production range, realizing the entire process through the transformation of existing technology. Conglorate diversification focuses more on the changes in expanding business scope, where enterprises need to link materials, technology, markets, and other factors related to their products to expand the business scope [5].
3. Impact of diversification strategy on ga company performance
It can be said that in the operating process of all ga companies, the impact of diversification strategy on ga company performance is uniformly divided into two parts: the change of operating model and the transition of strategic planning. From these two parts, changes gradually produce effects and drive performance improvents. The influence brought by diversification strategy is multi-faceted; this paper will analyze the impact of diversification strategy on ga company performance using Sanqi Mutual Entertainnt Ga Company as an example [6].
(1) Change of operating model
Currently, the main operating scope of Sanqi Mutual Entertainnt Ga Company is very extensive, which is also an advantage brought by the diversification strategy. The company's business not only involves the operation of interactive entertainnt, but also solely manages the developnt and distribution of mobile gas and web gas under Sanqi Mutual Entertainnt Ga Company. In recent years, the company has continuously innovated by keeping pace with technological advancents, expanding the market layout to film and ani subcultures. Additionally, the company shapes its market cultural industry chain in music, VR technology, and various entertainnt businesses such as live streaming.
In 1995, Sanqi Mutual Entertainnt Ga Company was established, but the developnt path in the early stages was not smooth. The predecessor of Sanqi Mutual Entertainnt was a small enterprise, and its industry chain initially did not involve the operation of gas and other entertainnt industries, always facing the 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 as subsequent operations were unsustainable and the market contracted, Sanqi Mutual Entertainnt eventually could not escape being acquired.
In 2014, Wuhu Shunrong Auto Parts Co., Ltd. acquired 60% of the shares of Shanghai Sanqi Mutual Entertainnt Technology Co., Ltd. Although it was nominally an acquisition, it was a developnt opportunity worth seizing for Sanqi Mutual Entertainnt. Through multilateral collaboration, the two companies completed the asset restructuring of various industries. It is noteworthy that the strategic operation always conducted by Sanqi Mutual Entertainnt had begun to show its potential at this ti. Sanqi Mutual Entertainnt Company transford from a single modern cultural creativity company before acquisition into a dual-listed company integrating advanced production manufacturing and modern cultural creativity, with the corresponding operational strategy changing within the sectors previously covered by the cultural creativity industry.
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