(Anti-theft asures, to be issued later.) Abstract: With the advancent of technology and the coverage model of intelligent networks, the rise of the ga industry in recent years has been evident to the public. The dissemination of gas is no longer confined to rigid promotional thods, and the influence of gas has gradually expanded into all aspects of life. Correspondingly, ga companies also need to continuously integrate resources and innovate to improve performance in line with the rapid developnt of the tis. A diversification strategy just rightly ets the planning needs and developnt goals within the ga industry. In the context of economic globalization, diversification strategy, as the primary mode of enterprise developnt, is also applicable to ga companies. This article uses Sanqi Mutual Entertainnt Company as an example to illustrate the impact of diversification strategy on the performance of ga companies.
Keywords: diversification strategy; ga company; performance; impact; Sanqi Mutual Entertainnt Company
Diversification strategy is a market strategy approach adopted by enterprises in their operations to occupy new markets and to explore new markets, as well as to avoid risks encountered during the operation of a single business, and to strategically plan to enter new fields with targeted preparation. Applying the diversification strategy to ga companies can effectively improve company performance, bringing a process of quantitative to qualitative change in the developnt of ga companies.
1. The Macroeconomic Background of Diversification Strategy
Entering 2021, under the effective control of the pandemic by the state, people's lives have returned to normal, and the economic and cultural spheres are witnessing a great recovery. On April 30, 2021, according to the 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 advantageous news for the ga industry, which occupies a significant portion of the cultural industry. Although the arrival of the pandemic did not significantly affect the ga industry, the inability to conduct offline activities consistently impacted the performance of ga companies. With the warming of the cultural industry, for most ga companies, this ans that the great developnt and prosperity of the cultural industry can stimulate more ga companies to embark on the path of sustainable developnt[2].
From the outbreak of last year's pandemic to the current stabilization, the state has introduced relevant policies to support the developnt of the cultural industry from multiple aspects such as finance, regulation, and finance. Although the pandemic has hindered people's travel, it cannot control the speed of online network dissemination. The ergence of more and more new dia has driven the developnt of the cultural industry during the pandemic control period. However, because every company wants to squeeze into the online market, the competitive environnt among cultural industries is extrely fierce. Many traditional offline enterprises could not withstand the impact of the pandemic and were eliminated by society. But in these short two years, many successfully transford cultural industries have erged, and most of these enterprises relied on a diversification strategy model to accelerate transformation and upgrading, gaining fruitful results and obtaining more diversified developnt models and revenue channels during the pandemic control period when residents' consumption levels significantly improved. For example, the transformation made by Sanqi Mutual Entertainnt Company during the pandemic control 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 the pioneer of strategic managent, Igor Ansoff. In his book "Corporate Strategy," he ntioned the classification of diversification strategy. This world-influencing strategic model has been involved in the managent guidelines and policies of multiple countries, so today every enterprise, large and small, is seeking a place according to the diversification strategy developnt model[4].
(2) The Classification and aning of Diversification Strategy
Diversification strategy is divided into four types: horizontal diversification, vertical integration, concentric diversification, and comprehensive diversification. The four different modes derived from the diversification strategy have different anings. Horizontal diversification refers to the production of new products that satisfy new user needs using the original conditions provided by the market, thereby driving market consumption; vertical integration is the vertical derivation according to the enterprise's developnt situation, using product supply chain penetration into other market areas to seek new consur targets; concentric diversification focuses more on the innovation of existing technology, requiring the production of new products within the original production scope, achieving the entire process through the tamorphosis of existing technology; comprehensive diversification focuses more on expanding the scope of operations, requiring enterprises to expand the scope of operations by contacting factors related to their own products, such as raw materials and technology, and markets[5].
3. The Impact of Diversification Strategy on the Performance of Ga Companies
It can be said that in the operation process of all ga companies, the impact of diversification strategy on ga company performance is uniformly divided into two parts: the change of operational mode and the shift of strategic planning. The effects produced from these two parts gradually improve company performance. The impact brought by diversification strategy is multifaceted, and this paper will analyze and research the impact of diversification strategy on the performance of ga companies, taking Sanqi Mutual Entertainnt Ga Company as an example[6].
(1) Changes in the Operational Mode
Currently, the main operation scope of Sanqi Mutual Entertainnt Ga Company is very broad, which is also an advantage brought by the diversification strategy. The company's business not only involves the operation of interactive entertainnt but also covers the research and publishing of mobile and web gas under Sanqi Mutual Entertainnt Ga Company. In recent developnts, it has kept pace with the tis and technology through continuous innovation, expanding the market to include film and animation ACG, as well as shaping Sanqi Mutual Entertainnt Ga Company's market culture industry chain in music, VR technology, and various live broadcasts and other pan-entertainnt businesses.
Sanqi Mutual Entertainnt Ga Company was established in 1995, but the initial developnt road was not smooth. The predecessor of Sanqi Mutual Entertainnt Ga Company was a small enterprise, and initially, the industry chain of Sanqi Mutual Entertainnt did not involve the operation of gas and other entertainnt industries, with the risk of being swallowed up by the market at any ti. However, relying on the steady developnt of a single industry, Sanqi Mutual Entertainnt Company went public in 2011, but with poor later operation 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 nominally acquired, for Sanqi Mutual Entertainnt, this was a developnt opportunity worth seizing. Under the multi-faceted collaboration of the two companies, asset restructuring of various industries was completed. It is worth ntioning that the exhibition strategy that Sanqi Mutual Entertainnt always operated was already showing its sharpness. Sanqi Mutual Entertainnt Company transford from being a single modern cultural creative company before the acquisition to today's dual-main-business listed company where advanced production manufacturing and modern cultural creativity run in parallel. Correspondingly, the company's operational strategy of Sanqi Mutual Entertainnt is also undergoing changes, originally encompassing the business scope of cultural and creative industries. In 2014, Wuhu Shunrong Auto Parts Co., Ltd first encompassed the business scope of cultural and creative industries.
User Comments
0 comments from readers