But how choose? What and how much? On which to base a choice? How to maintain the previous high growth rates? Strong leaders on weak markets are faced with another problem. Organic growth, followed by a "tactical" outputs into the adjacent area (such as in the case of Dell), may be insufficient to meet the expectations of investors or the company itself. Hillenbrand Industries – a classic example of this problem. Hillenbrand operates in two areas – mechanical beds hospitals and funeral accessories. Both markets are growing by less than 5 percent a year, and the share of Hillenbrand – 70 percent in each of them. Opportunities to increase market share is limited, as the markets themselves.
As a result, Hillenbrand has to be considered to expand into other markets, which could be claimed by her skills. Although emerging markets may differ significantly from "traditional". Another option is a situation in which turned out to Hillenbrand, this is where the company has a strong niche position in the large market. The company may feel the need for growth, but understands that under existing specialization it does not have sufficient opportunities for this, and she needed to go to a new arena. For example, the company Enterprise Rent-A-Car, which has a strong position in the market replacement vehicle for body repair shops and insurance companies, but faces competition Layered on any adjacent direction rental business. What for one of the related business, for another – the basic, especially in a market with many interconnected segments and customers, such as car rental.