Factors affecting the relationship between diversification and performance. Literature Review

The relationship between diversification and firm performance has been a topic of great importance to scholars of different areas for several decades and who have recognized some factors that can affect this relationship. A review of the literature on which this article is based has identified 11 key factors that can impact the business performance of a company that has decided to diversify (Type, mode, diversification level, governance, R&D, Information and communication technologies, business risk, knowledge, industrial sector, size and age). The analysis has been based on empirical evidence found in 55 studies conducted during the period between 2003 and 2014.