diversification

American  

[dih-vur-suh-fi-kay-shuhn, dahy-] / dɪˌvɜr sə fɪˈkeɪ ʃən, daɪ- /

noun

• diversifications
  plural

1. the act or process of diversifying; state of being diversified.

2. the act or practice of manufacturing a variety of products, investing in a variety of securities, selling a variety of merchandise, etc., so that a failure in or an economic slump affecting one of them will not be disastrous.

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diversification British  

/ daɪˌvɜːsɪfɪˈkeɪʃən /

noun

1. commerce the practice of varying products, operations, etc, in order to spread risk, expand, exploit spare capacity, etc

2. (in regional planning policies) the attempt to provide regions with an adequate variety of industries

3. the act of diversifying

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Other Word Forms

Derived Forms

• nondiversification
  noun
• overdiversification
  noun

Inflected Forms

Nouns

• diversifications
  plural

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Etymology

Origin of diversification

First recorded in 1595–1605, diversification is from the Medieval Latin word dīversificātiōn- (stem of dīversificātiō ). See diversify, -fication

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Explanation

Diversification is the opposite of sameness. Use diversification to describe the goal achieved by a store that started with deli sandwiches and now offers gourmet coffee, muffins, soups, and salads. If a group seeks diversification, it wants to attract people of different ages from various backgrounds. If your financial adviser tells you that your stock portfolio needs diversification, this means you need to have stocks from a variety of companies and different industries. In other words, things should be more diverse. Use that to remember how to pronounce the word: Say diverse, then add if-ick-a-shun.

Example Sentences

See Examples For:

diversification diversifications

Healthcare—particularly equipment and services and pharmaceuticals—offers investors diversification from AI, according to one report.

From Barron's ● Oct. 15, 2026

Still, no single asset class leads forever, Zandi said, which is why diversification is recommended.

From MarketWatch ● Oct. 13, 2026

Data-center and digital-infrastructure ETFs arguably offer more diversification.

From MarketWatch ● Oct. 12, 2026

However, the fund warned that weaker business confidence, reduced trade and higher prices were weighing on non-oil activity, while prolonged disruptions could make economic diversification and investment more difficult.

From The Wall Street Journal ● Oct. 9, 2026

In short, Polynesia furnishes us with a convincing example of environmentally related diversification of human societies in operation.

From "Guns, Germs, and Steel: The Fates of Human Societies" by Jared M. Diamond

Dr Tian said, "The role of non-coding RNAs in phenotypic diversification is largely understudied. This study prompts further investigations on how non-coding RNAs such as miRNAs can contribute to phenotypic diversifications in organisms."

From Science Daily ● Dec. 6, 2024

“We have fought for economic diversifications for so long.”

From Washington Times ● Aug. 22, 2020

The result is a history of life during this period, the early Palaeozoic era, that can pinpoint the rise and fall of species during diversifications and mass extinctions to within about 26,000 years.

From Nature ● Jan. 15, 2020

Chuck Robbins, who succeeded Mr Chambers in July 2015, has two decades of experience selling Cisco gear and seems more comfortable talking about its core business than about diversifications.

From Economist ● Jun. 22, 2017

There seems to be no end to the proliferation of diversifications.

From Humanistic Nursing by Josephine G. Paterson

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Related Words

• diversity

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