Dilemma: Specialization income vs theory of Multiple incomes
Should we specialize or try to determine whether to make multiple sources of income so that we do not fall under the threat of stagnation if our specialization in the field enters stagnation?
From my point of view, I think it is a difficult theory, and judging which of the two cases is better is not an easy judgment, but It depends on several factors. Sometimes, the theory of specialization is the correct theory, and at other times, the theory of multiple income is the correct theory. Specialization has advantages and disadvantages.
Its advantages are that focusing on one field creates experience, creativity, excellence, and knowledge of all aspects of the market. It also produces, after some time, its position in the market and even You will have the Share brand, or what is called a market share. You will have the ability to predict and control the market, but among its disadvantages is that any recession that happens to this market is a total recession for your establishments or your business activity, even if you do not have it and if you do not have the financial liquidity that can Covering your expenses during the recession period, you will be in big trouble.
The other problem is when any type of product is discovered that could be the reason for the lack of demand for your product, and here you must always have an alternative cat, or Clan B, as we say you can so that you can skip The problem of dispensing with your products, and there are several other problems for us to discuss them. We will need a large area that cannot be covered in one article. As for multiple sources of income, it is an ideal solution for any entrepreneur or businessman who does not have large financial liquidity.
He always needs to diversify sources of income so that He will not have financial crises, and in this case, he will be competing with him in all of his many sources of income, and of course, he will not have a distinct vote share, but from my point of view, it is the best way to avoid falling into the problem of market stagnation or market fluctuations, as it is considered in itself as if you are always managing your establishment.
Through the main plan, the alternative plan, the sub-plan, the sub-sub plan, and so on, you will always have some constant headaches, as the stability of the bad in one commodity is not the same as the multiplicity of commodities. Therefore, the multiplicity of sources of income is not for anyone who can manage it, and we also return and address that it has many positive and negative factors. It requires many articles.
I hope that I have clarified the difference between the two methods of business management, and I am willing to provide any advice related to this topic or one of the topics that I have written before.
Thank you.
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