DIVERSIFICATION
diversification,n.1. A company’s movement into a broader range of products, usu. by buying
firms already serving the market or by expanding existing operations <the soft-drink company’s
diversification into the potato-chip market has increased its profits>.2. The act of investing in a
wide range of companies to reduce the risk if one sector of the market suffers losses <the prudent
investor’s diversification of the portfolio among 12 companies>. — diversify,vb. [Blacks Law 8th]