If you added a product or service and it is more different from your original product or service than it is the same, it is a diversion. If it uses the same salespeople, employee skills, marketing, and equipment, than it may be a diversification.
Diversification like this is often good. Diversions leave you owning two businesses under the same roof and make things complicated. They may be good, but not if you don’t do well in either business.
Consider carefully.
Larry, can you elaborate more with a real example to show which one is better than the other?