There are several situation where companies, specially SMEs, need to diversify their activity. TEMATYS help managers to find new products complementary to their existing catalogue and set-up their growth strategy. contact : info@tematys.comFocus on diversification1st scenario: offensive diversification. The company wants to find new growth opportunities, either by finding new markets for their existing products, or by adding new products to serve the markets where the company is already successfull.
In this scenario, the company should be able to mobilize resources  for investing into internal development programs or find a suitable target company for an external acquisition.

2nd scenario: defensive diversification. The company’s products are established but the sells are declining due to aging products or  external external reasons( eg, substitution of metal by composites in aerospace ) .
Often the managment feels under pressure and this affects the decision-making process.

3rd scenario: in search of a new business model. This scenario is common in the field of photonics. Through its expertise and know-how, the company maintains its business by selling customized products but failed to complete a product that could make it take off.

There are many possible reasons for the stagnation: lack of strategy, the size of the targeted market was overestimated, the product comes too early, too hard competition , too much focus on technology over marketing and commercial efforts
T
he business model of the company must be deeply reviewed before any action.