Introduction LVMH is a multinational firm that is headquartered in Paris (Thompson, Strickland, Gamble, and Gao, 509). It was started in 1987 after the merger of two firms. The company has about 60 subsidiaries that specialize in the management of its prestigious brands (Okonkwo 287; Thompson et al. 509). This paper focuses on highlighting LVMH’s past and current corporate diversification strategy. It provides information about the firm’s portfolio of businesses and analyzes the impact of diversification strategy on the company’s shareholder value. Finally, the paper concentrates on providing recommendations with regard to improving shareholder value. LVMH’s past and current corporate diversification strategy It is evident that the multinational company focuses on a corporate strategy that is based on business diversification. The current diversification approach is different from the one applied in the past because the previous one was characterized by fewer brands (Okonkwo 287). However, in the current competitive world, the firm has adopted a variety of high-quality products that would enable it to achieve more market shares and competitive advantage (Thompson et al. 515). The business is exemplified by a variety of ‘star’ brands, which are important for achieving excellent sales in different global markets. The following are some of the top brands of the company: Hennessy, Krug, Fendi, Kenzo, Dior, Marc Jacobs, Chaumet, Bulgari, and Sephora (Thompson et al. 517). The brands enable LVMH to attain corporate advantage and strategy because they are specifically manufactured for particular customers in the markets. Thus, they record very impressive sales. The following are the main segments of the firm:  1. Wines & spirits  2. Selective retailing  3. Perfumes & cosmetics  4. Watches & jewelry  5. Fashion & leather goods  6. Other businesses & eliminations The management adopts specific business strategies in each of these segments. With regard to the watches and jewelry segment, products are designed with a view to reflecting the needs of the upscale sector of the industry. The strategy that is implemented for the perfumes and cosmetics products is based on the use of unique chemicals and other ingredients that are combined to result in unique and innovative goods. The selective retailing segment concentrates on the identification of unique market niches for excellent sales. The other businesses and eliminations unit have media, art auction, and e-commerce products. The strategy used in the segment is based on the identification of market opportunities. The wines and spirits unit adopts the strategy of producing wines and spirits, which focus on quality. The fashion and leather goods unit uses the strategy of hiring and utilizing talented and creative designers (Thompson et al. 518). Quality uniqueness is a common strategic approach that is used in the management of all business areas of the organization. Synergy is evident in a number of fragrance and cosmetics brands, which are being developed using common laboratories (Thompson et al. 516). LVMH’s portfolio of businesses With regard to LVMH’s diversified businesses, it would be important to use the 9-cell attractiveness/strength matrix to know the positions of the business areas of the company. Figure 1. A figure is showing the 9-cell attractiveness/strength matrix of LVMH. The businesses are used to represent the following segments:   * Wines & spirits- business F   * Selective retailing- business A   * Perfumes & cosmetics-