What is a conglomerate company?

A conglomerate is a corporation of several different, sometimes unrelated, businesses. In a conglomerate, one company owns a controlling stake in several smaller companies, conducting business separately and independently.

What is an industrial conglomerate?

Industrial Conglomerates Industrial conglomerates are highly dispersed businesses working across globalized value chains. They rely on strong management and governance structures to achieve company synergies and economies of scale, and resource-efficient and lean manufacturing processes are important aspects of their business strategies.

What is a conglomerate merger?

A conglomerate merger occurred when The Walt Disney Company merged with the American Broadcasting Company (ABC) in 1995, for example. Another approach is that of organic expansion. This strategy is more of corporate restructuring and reorganization, and sometimes the creation of a parent company to own various smaller ones.