This Lord is Very Scientific-Chapter 753 - 685

Recalling his memories, Lin Ke thought of three ways.

One is to give it to someone, or to trade it with

(Anti-theft, send it at that time.) Summary: Accompanying the progress of technology and the coverage mode of intelligent networks, the rise of the gaming industry in recent years is obvious to the people. The dissemination of games is no longer confined to the rigid promotion methods; the influence of games has also gradually expanded to all aspects of life. Correspondingly, game companies need to continuously integrate resources, innovate, update, and improve performance with the rapid development of the times. Diverse strategies just meet the planning needs and development goals within the gaming industry. Against the background of economic globalization, diversified strategies as the preferred mode of enterprise development is equally applicable to game companies. This article uses Sanqi Mutual Entertainment Company as an example to explain the impact of diversified strategies on the performance of game companies.

Keywords: Diversification Strategy; Game Company; Performance; Influence; Sanqi Mutual Entertainment Company

Diversification strategy is a market strategic tool adopted by enterprises to occupy new markets and explore new markets further. It is also a strategic plan used by enterprises to avoid the risks encountered during the operation of a single business and to enter new business fields with targeted and prepared strategies. Applying diversification strategies to game companies can effectively improve company performance, bringing a process from quantitative change to qualitative change for game companies' development.

1, Macroscopic background of diversification strategy

Entering 2021, under the state's effective control of the epidemic, people's lives returned to normal, and economic and cultural development showed a promising recovery. On April 30, 2021, according to the country's inability to carry out offline activities, it continuously impacts game companies' performances. The recovery of the cultural industry means that its large development and prosperity can promote and drive more game companies to embark on the path of sustainable development for most game companies [2].

From last year's outbreak of the epidemic to the current stable situation, the state has issued relevant policies from multiple aspects such as finance, system, and finance to support the development of the cultural industry. Although the epidemic has obstructed people's travel, it cannot control the speed of online network dissemination. More and more new media appeared to drive the development of the cultural industry during the epidemic prevention and control period. Yet, as many companies wanted to squeeze into the online market, the competition environment of the cultural industry became very intense. Many traditional offline companies were eliminated by society under the epidemic's impact, but in just two years, many successfully transformed cultural industries emerged. Most of these enterprises relied on diversified strategic models to accelerate transformation and upgrading. During the epidemic prevention and control period when residents' consumption levels significantly improved, they received extraordinary development models and revenue channels. For example, Sanqi Mutual Entertainment Company made a transformation during the epidemic prevention and control period worth emulating by most game companies [3].

2, Simplified analysis and classification of diversification strategy

(a) Simplified analysis of diversification strategy

Diversification strategy was proposed by the father of strategic management Igor Ansoff. In his book "What is Business Strategy," the classification of diversification strategy was mentioned. This world-influencing strategic model is involved in many countries' management policy guidelines so that today every big and small enterprise seeks a place according to the development model of diversification strategy [4].

(b) Classification and connotation of diversification strategy

The diversification strategy is divided into four types: horizontal diversification, vertical integration, concentric diversification, and overall diversification. The four different modes derived from diversification strategy vary in meaning. Horizontal diversification refers to enterprises producing new products that meet users' new demands using the original conditions provided by the market, thus driving market consumption. Vertical integration refers to enterprises' longitudinal derivation according to their development situation, using product industry chains to penetrate other market fields to seek new consumer objects. Concentric diversification places more emphasis on innovation of existing technology, requiring new product production within the original production range, realizing the whole process through transformation of existing technology. Overall diversification focuses more on expanding the range of operations. Enterprises need to connect raw materials and technology relevant to their products and market factors to expand their operating scope [5].

3, Impact of diversification strategy on game company performance

It can be said that in the operation process of all game companies, the impact of diversification strategy on game company performance is divided into two parts: changes in operation mode and shifts in strategic planning. From these two parts of transformation, effects gradually arise, driving the enhancement of company's performance. The impact brought by diversification strategy is multifaceted. This paper will take Sanqi Mutual Entertainment Game Company as an example to analyze and study the impact of diversification strategy on the performance of game companies [6].

(1) Change in operation mode

Currently, Sanqi Mutual Entertainment Game Company's main operating range is quite broad. This is relying on the advantages brought by diversification strategy. The company's business not only involves interactive entertainment operation but Sanqi Mutual Entertainment Game Company also undertakes independently the development and distribution of mobile games and web games. In recent developments, they have consistently innovated along with the times and technology, expanding the market to layout television, anime, and secondary genres, molding the market cultural industry chain belonging to Sanqi Mutual Entertainment Game Company across music, VR technology, and various live streaming and pan-entertainment businesses.

Established in 1995, Sanqi Mutual Entertainment Game Company faced challenges along its development path. The predecessor of Sanqi Mutual Entertainment Game Company was a small enterprise. Initially, Sanqi Mutual Entertainment's industry chain did not involve operations of games and other entertainment industries, always facing the risk of being swallowed by the market. But relying on steady development of a single industry, Sanqi Mutual Entertainment Company went public in 2011. However, with subsequent poor operations and tight markets, Sanqi Mutual Entertainment ultimately could not escape being acquired.

In 2014, Wuhu Shunrong Auto Parts Co., Ltd., acquired Shanghai Sanqi Mutual Entertainment Technology Co., Ltd. with sixty percent equity. Although nominally acquired, for Sanqi Mutual Entertainment, it is a development opportunity worth grasping. Through collaboration on multiple fronts, both companies completed asset restructuring of various industries. It is worth noting that the operational strategy Sanqi Mutual Entertainment consistently ran has already begun to show its edge. Sanqi Mutual Entertainment Company transformed from a single modern culture creative company before acquisition to today's dual main business listed company of advanced production manufacturing and modern culture creativity running side by side. Correspondingly, Sanqi Mutual Entertainment's company operation strategy also underwent changes. The former cultural creativity industry encompassed the business scope. In 2014, Wuhu Shunrong Auto Parts Co., Ltd. moved in the business scope covered by the former cultural creativity industry.