Implementation of diversification strategy at the Standard Group (K) Limited
Sustaining business growth is one of the key challenges to the business leader. Product diversification is one of a few answers to this problem. This study therefore sought to fill this knowledge gap by investigating the diversification strategies adopted by the Standard Group. The objectives of this study were to establish how the Standard group has implemented diversification strategies and to determine the factors influencing the implementation of diversification strategy at the Standard Group. This was a case study since the unit of analysis was one organization. Primary data was used for the study through use of interview guides that were distributed among the senior managers in the Standard Group. Content analysis was employed in analyzing the data. The analysis was based on the objectives of the study. The qualitative analysis was used to analyze the respondents' views about the types of diversification strategies adopted by the Standard Group and their effect on the performance. This study established that the group adopts diversification strategies to maximize profits and compete effectively in the media market; diversification strategies are adopted to consolidate the company's market share and ward off competition from its rivals, so as to spread the risks occasionally by using cost of operation, to maximize on profits. From the study it s also concluded that the company employs operation such as multimedia house targeting different segments of the market. The other aspect of the company's market power was in reaching a wider market. The study therefore recommend that the organization should also incorporate diversification in its business operations through use of technological advancements and other aspects such as innovation and benchmarking strategies to realize full benefits of diversification. The study recommends that the company should work towards leading the media industry by setting up strategic advisory committee to oversee strategic decision that need to be undertaken to enhance the diversification strategies through various aspects of media. The study further recommends that the organization should ensure that there is full usage of the available human resource and other resources as well as ensuring that the organization fully complies with the government regulations for it to successfully realize the intended results of the diversification strategies.