Comment Re:I am an economics nub (Score 1) 76
This is correct. The business I work for had to do the same thing. We had different divisions that had different core competencies that synergized well, but having them joined at the hip made it impossible to diversify. Customers looked at you with disdain because they thought you'd treat them like a second class citizen to your sister company. Truth was we wanted to diversify because all parts of the business were simply too reliant on the one big customer, and it made the companies worse. Separating our company learn to compete with others in their core competencies more effectively and be less effected by the downswing of one specific division. It also removed preferential treatment.