Conglomerate


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Conglomerate

A firm engaged in two or more unrelated businesses.

Conglomerate

A corporation that runs and manages many, unrelated businesses. The businesses are in different industries and generally have nothing at all to do with each other in terms of what products are produced. The theory behind a conglomerate states that the individual businesses can be managed at lower cost because they are able to pool resources while also reducing risks inherent to any particular industry. Conglomerates are not as popular in the United States as they once were because some became so complex, they were impossible to operate. See also: Keiretsu, Chaebol.

conglomerate

A company engaged in varied business operations, many of which seem unrelated. A conglomerate is designed to have reduced risk, since its various operations are affected differently by business conditions over time. In addition, it is possible for a conglomerate to redistribute its corporate assets depending on which operations show the most promise. Conglomerates were popular among investors during the 1960s but investors' interest in them faded during the 1970s and the 1980s.

Conglomerate.

A conglomerate is a corporation whose multiple business units operate in different, often unrelated, areas.

A conglomerate is generally formed when one company expands by acquiring other firms, which it brings together under a single management umbrella.

In some, but not all, cases, the formerly independent elements of the conglomerate retain their brand identities, though they are responsible to the conglomerate's management.

Some conglomerates are successful, with different parts of the whole contributing the lion's share of the profits in different phases of the economic cycle, offsetting weaker performance by other units.

Other conglomerates are never able to meld the parts into a functioning whole. In those cases, the parent company may sell or spin off various divisions into new independent companies.

References in periodicals archive ?
above, the financial conglomerate can act as an agent in its investment
NFSCs Deputy Manager of Conglomerates Supervision Department, Mrs.
In his response to Khan on April 30, also seen by Profit, DCL Director Haroon Iqbal wrote that Mega Conglomerate had indicated that the enterprise value would be around Rs24 billion, with a possible revision of Rs1 billion either upwards or downwards because of the due diligence exercise.
As Executive Director of AGI, he was in-charge of the company's external affairs, representing the conglomerate in various private and public functions.
LG Corp, a holding company of the electronics-to-chemicals conglomerate, said on Thursday its longtime chairman was unwell and planned to nominate his son to its board of directors in preparation for a leadership succession.
The Partnership will utilize the capabilities of Exquisite Conglomerate Communications LLC to connect the 2 online television stations and streamline both stations online identities and services throughout the southeast and southwestern United States.
Cyan Ltd said in a separate statement that it had executed the trade for divestment of 10m shares in Hubco to Mega Conglomerate at the same price.
The conglomerate has purchased a total of 15.77%, or 182.58 million, shares in Hubco from Dawood Hercules and Cyan Limited at Rs106.50 per share, totalling Rs19.44 billion (or $174 million), according to notices sent to the Pakistan Stock Exchange on Friday.
This month, Ambani's Reliance Industries conglomerate will launch Reliance Jio, a telecoms data business.
It is tempting to differentiate between the process (conglomeration) and for the result (conglomerate).
For instance, researchers have found cork conglomerate to have superior acoustic dampening performance as compared to foam when used as the core material in a composite sandwich structure.
President Moon Jae-in is planning to meet with the heads of South Korea's major conglomerates next week, Cheong Wa Dae said Friday, to discuss ways to revitalize the economy.