Corporate-Level Strategy

BUS 499 Corporate-Level Strategy

From the e-Activity, suggest one way the company you researched could increase its level of value-creating diversification. Provide specific examples to support your response.

I believe that Regency Energy Partners can increase their level of value-creating diversification by communicating throughout the world with competitors. Partnering up with their competitors whether big or small companies to install their gas services or products within the different communities throughout the world. If this is able to take place Regency would become the most diversified company in the energy world. A lot of companies don’t understand how a merger can benefit them for the good and not always be a bad thing.

Building on the topic above, determine how diversified the company you research could become before it created a negative impact on the company’s bottom line. Explain your rationale.

The biggest disadvantage to a merging of the two businesses would be the amount of staff they have on hand in the administrative side of things. I would propose that the owners and CEO’s of both individual businesses come together and team up to show the comrade for the merger and I believe that the employees will follow. Also, the two businesses would need to figure out if they will change the name or if one company name is more prominent then the other. Once these issues are worked on the two businesses should strive to create more business and to bring in more revenue.