Marigold Manufacturers Inc.'s New Venture

What is the new business strategy that Marigold Manufacturers Inc. is implementing?

The new business strategy that Marigold Manufacturers Inc. is implementing is _____ diversification.

Marigold Manufacturers Inc. recently acquired a women's apparel manufacturing firm and now plans to manufacture and sell women's fashion apparel. This strategic move is an example of unrelated diversification.

Unrelated diversification is a business strategy in which a company expands into new, unrelated products or markets. In the case of Marigold Manufacturers Inc., they are adding a completely new product line (women's fashion apparel) that is distinct from their existing products (home appliances). By entering the women's fashion apparel market, the company is diversifying its business portfolio and seeking new growth opportunities.

This strategy allows Marigold Manufacturers Inc. to tap into new customer segments, reach a wider audience, and capitalize on the growing demand for women's fashion apparel. While it may involve certain risks, such as entering a competitive market or facing challenges in marketing and distribution, unrelated diversification can also bring significant rewards in terms of revenue growth and market expansion.