NovaTech Pvt. Ltd. is a well-established educational technology (EdTech) company in the India. The company has been performing well in the online…

Currently, NovaTech Pvt. Ltd. operates in the educational technology industry, offering digital learning solutions. However, its management has decided to expand into an entirely different sector by launching GlowNova, a luxury skincare brand. Since there is no connection between their existing EdTech business and the new skincare venture in terms of customer groups, customer needs, or technologies used, NovaTech Pvt. Ltd. has opted for conglomerate diversification. In conglomerate diversification , a company expands into a completely unrelated industry where its new products or services have no direct link to its existing business. There is no overlap in technology, market, or product functions. This type of diversification helps companies spread risk, enter new markets, and explore new revenue streams. NovaTech Pvt. Ltd.'s decision to launch a skincare brand while operating in the EdTech sector demonstrates a strategic move toward unrelated diversification, allowing the company to tap into an entirely different consumer market.