Expanding the core business : Understanding how to grow in the non-core business

Sammanfattning: Throughout history, large companies have been adapting to the new times. For this, they have had to be able to evolve and change the direction of their offer. In most cases, the offer they have now has nothing to do with what they offered. In other terms, they had to expand their core business. That means changing the main source of incomes. This can be done by moving to another market, creating new products, changing from a product to a service company etc. On the contrary, many companies that led the market have disappeared due to their lack of future vision. After using all its resources in their current core product, they forgot to invest in the future. Once that product became obsolete, the company failed. Looking to the future and deciding which direction to take is not easy. There is no standard successful formula for knowing which direction to take, but there are some common factors that can help reduce the risk. The results from the study show lack of focus and strategy as the main challenges for companies to expand the core. The conclusion is that there is not only one way to expand the core, and each company should adapt their strategies according to the status of the company. In the case of the case company, the strategy is aligned with their status, but the way it is applied should be improved to increase the speed and success rate. Three main recommendations are given to improve the actual expanding-the-core process: Isolate the non-core to increase the focus, better use of their brand position and the competitive advantages it can bring, and to improve the overall knowledge of the company in the non-core products.