Companies these days are already shying away from being exclusive to one product alone unless you’re a start-up. Some companies evolve in investing, some buy put the competition to own the market and dominate it or explore another market for business opportunities.
These 3 things are all tried and tested and it does work, and whatevera company evolves in you know it would be because of the evolving times to stay relevant. You see it all around; the biggest companies in the world have this setup. LG, Apple, Samsung, Xiaomi; we may all know these devices because they have smart devices and they all compete with each other for supremacy but what you never realized is that they used to be popular with other things.
Changing times: You can’t always be the best in your respective field and that is also true with companies, over the years. It would either be your product line will expand, you acquire other companies or you venture to another business. Why companies do it? This is because the market is ever changing, and what is the trend or the market that can give you the best profit and either you invest or buy out the competition.
Relevant: Because it’s all about relevance and always be in a customer’s radar. If you want to be more relevant it’s not just about selling one product, it’s about selling a variety of products. Take a particular brand, for example, they are known for their lights, their speakers and headphones and they are also very popular with baby products like Avent. When people see this brand they know its quality and people will have this eco system of products to buy from this certain company.
BT innovation (http://www.bt-innovation.de/en/): When you say construction in Germany, one company comes into mind. BT innovation; now their business model is unique because they focus on one category with many sub categories. Housing, what does the category for housing breaks on? A lot really, from their sealants, magnets and shuttering prefabricated construction parts and even their low-cost housing models. There’s really nothing wrong if you say that your house was built by BT innovation.
BT has been in the forefront in providing top quality construction materials for years, their business model may have focused on just one category but it does have sub categories that they saw as a business opportunity. This does make the company more dynamic and at the same time focused on just one category which people will know that they are the best at.