The move by supermarkets into insurance and banking is diversification.

Question

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Diversification refers to a business strategy where a company enters into a new market or industry which it is not currently in, while also creating a new product for that new market. Supermarkets moving into insurance and banking represents diversification because they are expanding their business operations beyond their traditional retail and grocery sales into entirely different sectors, namely financial services.

The Move by Supermarkets into Insurance and Banking Is Diversification