Re:What will Google offer?
by Andrew_Quentin on Thursday April 21, 2011 @05:02PM
(#2472369)
Well, they say Rome fell because of over-expansion. Companies can so fall too.
No. The reason Rome's expansion plans fell short of expectations were because the perimeter to area ratio was too high. Defending lots of land with an enormous Mediterranean sea in the middle is far harder that a tight peninsula of farmland.
Similarly, Cisco buying Groupon increases perimeter to surface area far more than Google buying Admob.
Because most companies don't believe that trying to expand into another area will significantly hurt them in areas they already excel at.