Diversity here refers to diversity of products, services and markets related to the organization.

More kinds of products indicates more variety in the organization's activities and is a measure of diversity. The exact number is not as important as the perception of differences among the products.

Frequently, the number of markets is related to the number of products, but not necessarily. A firm with one product can sell in many markets; or vice versa. Nonetheless, the number of markets is also a measure of diversity in the environment, i.e., the outside of the firm.

Measures of diversity are:

• Number of product lines, products, services
• Market diversity
• Level of internationalization
• Product differentiation

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Medtronic case: Product diversity