Shared activities among businesses in a corporation do not always have a positive effect on a differentiation strategy of a corporation.

Question

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Sharing activities among businesses in a corporation can have a negative effect on a corporation. For example, when Ford owned Jaguar, they found that customers had lower perceived value of Jaguar automobiles when they found that the entry-level Jaguar shared its basic design with and was manufactured in the same production plant as the Ford Mondeo, a European midsize car. Perhaps, it is not too surprising that Jaguar was divested by Ford in 2008.

Shared Activities Among Businesses in a Corporation Do Not Always