A case of diversification failure

Question 1: An example of the failure of an enterprise due to diversification. I remember that when Nokia made other TV sets, the result was a big failure, because diversification of enterprises does not mean that users have the same trust. Later, they learned that only seriously engaging in their own mobile phones is king.

Question 2: Shan Ye Company: Pulling Back from the Cliff Around the world, "Shan Ye" is almost synonymous with musical instruments, especially in piano production and sales. In the initial stage of business expansion, Yamaha Company in Japan did not break away from its original professional knowledge in brand expansion. Such as guitar, speaker, violin and electronic organ, can all benefit from the company's original technology and workers' exquisite craftsmanship. But then Shan Ye borrowed heavily and set foot in many unfamiliar fields, such as tennis rackets, televisions, video recorders, audio equipment, motorcycles, ski cars and yachts. Due to the excessive diversification from the industry, the company did not understand the foundation and advantages of the company, and the management, technology and experience could not keep up with the rapid expansion, which made the company almost fall into a mud pit. After 1990, the profits of Shan Ye company showed a downward trend and fell into debt crisis. Fortunately, the leaders of the company woke up from their dreams and pulled back from the cliff. Under the leadership of the current president, Shan Ye Company readjusted its business strategy and still focused on the core business of musical instruments, thus enabling Shan Ye Company to get out of the predicament and regain the lost market.

Question 3: Seek the failure case of diversification strategy of enterprises in China! 5 points, the account password is wrong, and the account is frozen.

Handle mobile phone transfer, instant payment, computer transfer, free payment within 24 hours,

Paid, received within 2 hours, refund, return, complaint, bad review, activation, authentication,

A pen? 50,000 yuan, which will be received before 24: 00 on the next working day after submission. Working days do not include national holidays and weekends, and the receiving time will be postponed. .

(1) Transfer the bank card to ICBC, China Merchants Bank, China Construction Bank, Agricultural Bank of China, Bank of China, Xingye, Ping An and Hangzhou Bank, and pay the wallet by mobile phone. The banking service will receive the account within 2 hours. Operating on the computer can only be received before 24 o'clock the next day.

(2) If the single transfer is more than or equal to 50,000 yuan, both the mobile phone and the computer will arrive before 24: 00 the next day. And in case of legal holidays or rest days, the arrival time will be postponed.

(3) Transfer the money to CITIC, China Everbright, Ping An, China Merchants Bank and Postal Cartoon for real-time receipt.

(4) Two-hour service schedule for arriving at the bank (supporting banking and service hours):

Agricultural Bank of China and Bank of China at 8: 00 ――19: 00;

CCB 6: 00-20: 00;

Bank of Communications 6: 00-20: 30;

Xingye1:00 ―― 22: 00;

Peace from 7: 00 to 22: 00;

China Merchants Bank, ICBC and Hangzhou Bank 0: 00-23: 59.

Question 4: Find out the cases of unrelated diversification strategies and the reasons for their success or failure. 5 Fenge is a typical successful case, and the main reason for success is 1. CEO Welch's leadership, 2. The concept of three circles, 3. The principle of being one of the best.

Question 5: Who can provide some cases of blind expansion failure of famous enterprises in China? 1, Shan Ye company

Throughout the world, "Shan Ye" is almost synonymous with musical instruments and enjoys a special reputation in piano production and sales.

In the initial stage of business expansion, Yamaha Company in Japan did not break away from its original professional knowledge in brand expansion. Such as guitar, speaker, violin and electronic organ, can all benefit from the company's original technology and workers' exquisite craftsmanship. But then Shan Ye borrowed heavily and set foot in many unfamiliar fields, such as tennis rackets, televisions, video recorders, audio equipment, motorcycles, ski cars and yachts. Due to the excessive diversification from the industry, the company did not understand the foundation and advantages of the company, and the management, technology and experience could not keep up with the rapid expansion, which made the company almost fall into a mud pit. After 1990, the profits of Shan Ye company showed a downward trend and fell into debt crisis. Fortunately, the leaders of the company woke up from their dreams and pulled back from the cliff. Under the leadership of the current president, Ueshima, Shan Ye Company readjusted its business strategy and still focused on the core business of musical instruments, thus enabling Shan Ye Company to get out of the predicament and regain the lost market.

2. Adidas Company

Adidas Germany is a large multinational enterprise that produces sports shoes. Since winning the 100-meter gold medal in the 1 1 Olympic Games, Owen has expanded the market many times, established a large number of branches all over the world, and set foot in many new fields, and the global market coverage rate soon reached over 80%.

Ballman of the United States took advantage of Adidas' repeated market expansion, devoted himself to studying its production and operation characteristics, seized the opportunity of the global running and fitness craze, completely imitated Adidas' production and operation mode, and quickly started a brand in the sports world by relying on the novelty and quality of its products. However, the weakness that Adidas products can't adapt to all levels of consumption is becoming more and more obvious. At this time, its management and experience can't keep up, and people's quality can't keep up with the rapidly expanding demand, which makes the enterprise fall into the predicament of high debts and difficult steps, thus being squeezed off the throne of leaders.

3 claiborne Company

According to Fortune magazine, the growth rate of claiborne Company193 was almost zero, its profit decreased and its share price fell. What happened to America's largest women's clothing manufacturer with an annual turnover of $2.7 billion? The reason is that its diversity is too wide. From the initial professional women's fashion clothing, it has expanded to large-size clothing, small-size clothing, accessories, cosmetics, men's wear and so on. As a result, claiborne is also facing the problem of excessive diversification. At first, the company's managers could not master the core products, but a large number of products that did not meet the market demand prompted many customers to move on, resulting in serious financial losses.

Jerome, the new chairman? After taking office, Ren Xia paid more attention to the ready-made clothes of professional women. In order to respond to consumers' demands again, Ren Xia emphasized the rigorous design, fit and quality of products. These values make it a success for many department stores to sell exclusive glans penis.

Question 6: Is Shanghai Baosteel Group a failure case of diversification strategy? 10 I really didn't know Baosteel was diversified. Its core business has always been steel, right?

When it comes to the failure of diversification, Youngor really counts.

Question 7: The success and failure cases of a well-known foreign-funded enterprise in China: A brief analysis of the reasons for the failure of "Spring Capital"

On June 4th, 65438/KLOC-0, relevant leaders of the State Council gave instructions on the failure of Chundu. Leaders believe that it is a tragedy and a joke to despair in Chundu, so that all sectors of society can know why a prosperous state-owned enterprise has come to this step.

There have been miracles in spring. Speaking of ham sausage, who can't think of Chundu? Since 1986, when China produced the first western-style ham sausage, Chundu once spread all over China as "dancing ham sausage", with a market share of over 70% and assets of 2.9 billion yuan. However, after only a few years of glory, this star enterprise suddenly fell into a trough. Now hundreds of production lines in Chundu have stopped production, with a loss of 670 million and a huge debt of 654.38+300 million. The scene of traffic and crowds in the past is just a beautiful memory of Chundu people.

What created the miracle of Chundu?

Chundu Group, formerly known as Luoyang Meat Joint Factory, was founded in 1958. Under the planned economy system, it has been flat for decades. 1986, Gao Fenglai, the head of Chundu, after analyzing and inspecting the domestic and international meat products market, decided to change the original pig slaughtering and storage operation, carry out deep processing of pork, develop the production and processing business of high-temperature meat products, introduce the western-style ham sausage production line for the first time in China, and produce the first ham sausage in China, which quickly became popular in the market. Sales revenue and profits have doubled year after year, and great economic benefits have been achieved. The scale of the enterprise has become larger.

By the early 1990s, Chundu had become a well-known large-scale meat production and processing enterprise with a revenue of over one billion yuan and a profit of over one hundred million yuan. "Chundu" ham sausage has been rated as "national famous brand product" and "famous trademark" for many times, almost becoming synonymous with China ham sausage.

The success of Chundu in this period is undoubtedly due to its correct strategic decision-forward-looking integrated development strategy.

What made Chundu decline?

Perhaps success came too easily, and the operators of Chundu began to have a fever. Local leaders also asked Chundu to be "bigger and stronger" as soon as possible, which played a role in fueling the situation. In a relatively short period of time, they invested heavily in many commercial projects such as medicine, tea drinks and real estate. Cross-regional and cross-industry acquisition and merger of Luoyang Gong Xuan Building, Pingdingshan Meat Joint Factory, Chongqing Wanzhou Food Company and other 17 hopeless enterprises, covering pig slaughtering and processing, cooked meat products, tea drinks, medicine, hotels, real estate, wood processing, commerce and other industries, and embarked on the road of diversified and synchronous development. The enterprise's business projects are complex, with low correlation, no connection with the original main business, and the investment time is very concentrated, which makes it develop rapidly at one time.

In terms of assets, Chundu's assets grew at an average annual rate of nearly six times, from 39.5 million yuan in 1987 to 2.969 billion yuan. What is terrible is that this rapid expansion has not only brought benefits to Chundu, but also brought a heavy burden to enterprises. More than half of the 17 enterprises acquired by Chundu suffered losses, and nearly half of them closed their doors and stopped production, which undoubtedly added insult to injury.

1In August, 1993, Chundu established Chundu Group Co., Ltd. on the basis of the original Luoyang Meat Complex, and raised 654.38 billion legal person shares from 432 shareholders, raising nearly 200 million yuan. It is a good thing to use a lot of money correctly, but it may be a disaster if it is used wrongly. At this time, Chundu just used this money to engage in blind diversification. At the beginning, I invested more than 65.438+million yuan to participate in 8 enterprises, and later I invested 65.438+05 billion yuan to hold 65.438+06 enterprises. The result was a big burden.

1In September, 1994, Chundu established a joint venture with five foreign investors, including Baoxing Investment Company of the United States, attracting foreign investment equivalent to RMB 290 million. However, after the joint venture, the foreign party found the problem of Chundu and found a reason to withdraw capital in 1997. According to the agreement, plus principal and interest plus dividends, Chundu lost more than 654.38 billion yuan at a time.

1998 12, Chundu Group, which was already suffering from heavy losses, decided to select some assets of the group company for reorganization and listing, raising 424 million yuan. Chundu Group, a major shareholder, and Chundu Food Co., Ltd., a listed company, are actually a set of people and two brands, with no separation of personnel, assets and finance. In the third month after listing, Chundu Group took 65.438+0.9 billion yuan from listed companies to pay off other debts, and then successively "occupied" several funds of listed companies, totaling 330 million yuan, accounting for 80% of the total funds raised by listed companies, which led to the 654.38+0 investment projects promised by listed companies to the public becoming a dead letter ... >>

Question 8: Why do most enterprises choose diversified enterprises after reaching a certain scale? There are many successful examples of individual development, such as Coca-Cola, Toyota, McDonald's and so on. There are relatively few successful cases of diversification. The following information is reproduced for your reference. Diversification, also known as diversification or diversification, refers to the strategy of an enterprise to run a number of different businesses simultaneously in a number of related or unrelated industrial fields. In recent years, enterprise diversification has been a research topic in theoretical and business circles. Some people say that diversification strategy is good, while others say that diversification strategy has many disadvantages. In fact, diversification is a "double-edged sword", which can not only bring huge profits to enterprises, but also become the grave of enterprises. The key to the success or failure of enterprises in applying this strategy lies in whether the external environment and internal conditions of enterprises meet the requirements of diversified operation and whether the timing of implementation is commercial. If the two are consistent, you can succeed, otherwise, you will fail. Therefore, understanding the advantages and disadvantages of diversification strategy and choosing the opportunity to implement diversification strategy (including the conditions for implementing diversification strategy) are the key to avoid disadvantages. Diversification and centralization are controversial topics, and their respective advantages and disadvantages have also been widely discussed. However, there are both losers and winners in the diversified or centralized operation of actual enterprises. I think diversification and unitary management are both enterprise strategies chosen by enterprises, and we can't simply say that diversification is good or unitary management is good. Only by combining the nature of the enterprise with the actual business background can we evaluate whether its strategy is feasible. The advantages and disadvantages of centralization and diversification in a general sense are analyzed as follows. First, the advantages and disadvantages of single centralization Advantages of single centralization: First, focusing limited resources and energy on a certain major is conducive to doing fine work in this major. This is equivalent to competing with others with what you are best at, and the probability of success is greater. Second, it is conducive to innovation in areas where you are good at it. Just like Nokia, it specializes in the mobile phone market, constantly improving its quality, innovation and competitiveness, and making itself one of the top 500 in the world. Third, it is conducive to improving management level. Due to long-term centralized management, managers can be familiar with what management methods need to be adopted and how to make professional decisions. Disadvantages of centralization: First, it is relatively risky to put funds in a certain professional field. Especially when the industry is in recession or substitute products or services appear, its survival will become a big problem. Second, it is easy to miss better investment opportunities. If an enterprise is too single, it will confine itself to one field, and if it does not pay attention to the emergence of new market opportunities, it will miss good investment opportunities and waste them in vain. Second, the advantages and disadvantages of diversification mainly include: First, diversification of business risks. Compared with single centralization, decentralization is equivalent to a portfolio, which can avoid the risk of putting all your eggs in one basket. However, there is a hypothesis that for our entrepreneurs who practice diversified management, we can manage our various business fields like single management, and there is no shortage of management ability and personal energy. In practice, it is difficult for us to guarantee that we will be diversified as a unified management list. If you are not familiar with your own field and lack the management ability in a certain field, the risk of decentralized operation will be discounted or even increased. A large number of examples of diversification failure can illustrate this point. Second, replace the market with enterprises (factor market replaces product market) to reduce transaction costs. According to Coase's theory, replacing the market with an enterprise, that is, replacing a series of external transaction contracts in the market with a contract within the enterprise, can save external transaction costs when the internal management cost of the enterprise is less than the transaction cost of the external market. Third, it is conducive to internal cooperation and improve efficiency. Diversified enterprises can combine the original business activities of multiple single unified enterprises into one enterprise, or put multiple industries and products into one enterprise or enterprise group, which can fully coordinate and integrate human, financial, material and information resources, rationally allocate resources and improve resource utilization efficiency. Fourth, establish a good corporate image and make yourself in a favorable position in business. It can be said that most of the world's top 500 enterprises are diversified, large-scale and influential. When trading and cooperating with other enterprises, it undoubtedly increases their bargaining power. Fifth, ensure your own supply and supply quality. The disadvantages of diversification mainly include: First, management ... >>