| Diversifying was the main melody of foreign companies in the 1960~1970's, but the main melody changed to restructuring in the 1980's. In the 1990's, returning to core business or trade and looking for the core competence became the main problems. In this case, the developing of Guangzhou Municipal Industries Ltd could be divided into 3 periods. The first is the developing of diversification of corporations in Guangzhou Municipal Industries Ltd., the second is the laying and implementing of restructuring plan, the third is the formulating of the tenth five-years layout. This case analyses the diversification restructuring of Guangzhou Municipal Industries Ltd. based on theories of diversification strategies, and then puts forward the diversification strategies of Guangzhou Municipal Industries Ltd. during the next five years.
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