Career growth isn't just vertical; it can be more powerful laterally. Transferring skills from one industry to another provides a unique perspective. For example, using music industry insights on audience behavior to solve a marketing challenge for a video game launch.

When deciding between deepening a vertical, adding adjacent ones, or going horizontal, analyze two key factors: the extent of product modification needed and your ability to market and sell to the new audience. This framework simplifies a complex strategic choice.

The key to effective portfolio entrepreneurship isn't random diversification. It's about serving the same customer segment across multiple products. This creates a cohesive ecosystem where each new offering benefits from compounding knowledge and trust, making many things feel like one thing.

Don't force your sales team to learn and sell a completely new product. Instead, integrate the new capability into an existing, successful product, making it "first" or "default" for that channel. This reduces sales friction and complexity, leveraging established momentum for adoption.

Instead of creating a market expansion strategy from scratch, ServiceUp explicitly copied the playbook of DoorDash, a successful three-sided marketplace in an adjacent vertical. This involved entering a new city and simultaneously acquiring customers, suppliers (shops), and drivers, accelerating growth.

True diversification doesn't come from being a generalist, but from achieving undeniable mastery in one specific domain. This deep expertise becomes your leverage—your "in"—to access rooms, build credibility, and then expand horizontally into other ventures like production, investing, and brand partnerships.

Instead of diversifying randomly, a more effective strategy is to expand into adjacent verticals. Leverage your existing, happy clients for introductions into these parallel industries. This approach uses your established credibility and relationships as a bridge to new markets, lowering the barrier to entry.

When expanding his law firm, John Morgan uses a 'bullets before bombs' strategy. He first enters a new city with a small, low-cost team and ad budget (the 'bullets') to test viability. Only after seeing positive traction does he commit significant capital and resources (the 'bombs'), de-risking growth.

Large enterprise clients are often diversified themselves with multiple departments and divisions. A powerful de-risking strategy is to leverage your existing relationship as a proven vendor to get introductions and sell into these other parts of the organization, effectively diversifying your revenue stream within a single account.