Quantitative Analysis on Service Diversifications by manufacturing companies

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Diversification strategies into service business of Japanese manufacturing companieshave been argued. However, very few studies have analyzed the service diversificationsquantitatively. This study conducted quantitative analysis on service diversificationsof Japanese manufacturing companies by using plenty of statistical data. The resultsshowed that service diversifications have not been developed as expected. On the otherhand, the regression analysis verified that the progress of service diversificationscontributed to the profitability.