product diversification refers to the fact that the newly produced products of an enterprise span a variety of industries that are not necessarily related, and most of them are serialized products; The so-called market diversification means that the products of enterprises are in multiple markets, including domestic markets, international regional markets and even global markets; The so-called diversification of investment regions means that the investment of enterprises is not only concentrated in one region, but also scattered in many regions and even countries around the world; The so-called diversification of capital refers to the sources and forms of enterprise capital, including tangible capital and intangible capital such as securities, stocks, intellectual property rights, trademarks and corporate reputation.

Generally speaking, diversified management refers to the diversification of product production. Diversification and product differentiation are different concepts. The so-called product difference refers to the segmentation of the same market, but it is essentially the same product. Diversification is that the products of the same enterprise enter the heterogeneous market, which is the simultaneous occurrence of increasing the types of new products and entering the new market. Therefore, diversification belongs to the category of product-market strategy in business strategy, while product differences belong to the subdivision of the same product. At the same time, the definition of enterprise's diversification strategy must be that the leading products of enterprise heterogeneity are less than 7% of the total sales of enterprise products.