Some of us are TOO ambitious. We want to get into new things and over-diversify, and take on more and more until we fail at something. We look at others who are doing it and say “I can, too”. But others who have their hands in so many things may not be profitable, or may be driving themselves crazy, or maybe they did it over many years as they could handle it, or maybe they have great leaders who run these other divisions for them.
Focus is a key master skill to success in any business. If diversification dilutes the focus of the leader on a business that’s already started and not reached it’s potential yet, it is likely to be a bad idea.