Spread Too Thin: The Strategic Cost of Adjacency Expansion in British Corporate Groups
For many UK corporate groups, the appeal of adjacent market expansion is both intuitive and difficult to resist — a natural extension of existing capability, a hedge against sector-specific risk, a signal of ambition to investors and stakeholders alike. Yet the evidence from Britain's mid-market consistently tells a more sobering story: that breadth pursued without discipline produces not resilience, but dilution. This article examines the mechanisms by which portfolio diversification quietly un