You Are A Senior Production Manager For A Company That Has Traditionally

Related DiversificationNameInstitutional affiliationRelated DiversificationIntroduction Diversification is a process by which organizations expand their activities beyond their main line of products. The aim of diversification is to maximize profits and minimize risks. Diversification can be related or unrelated. Related diversification implies that the company stays in the same industry. The strategy allows the business to use the same technology, personnel, and experience in the new product. Unrelated diversification, on the contrary, means that the company enters a totally new industry. An organization may also pursue vertical diversification, meaning that, it enters a lower or higher step in the production process. Saturn intends to expand into a new market, but also wants to engage in related diversification for its current and new products. BackgroundSaturn is a manufacturing company whose headquarters are in Ohio, USA. The company produces luggage bags for the low-end market, writing instruments to the middle-market segment, color televisions and LED screens for the high-end market, and miscellaneous plastic and paper tags for labeling. The business competes in the low end, medium end and the high-end markets, producing products with a wide range of use. It is therefore difficult