The desire to increase compensation and reduce managerial risk are two motives for top-level executives to diversify their companies beyond value-creating and neutral levels. In slightly different words, top-level executives can diversify the company to spread the risk of their own work, as long as profitability is not too bad. A greater degree of diversification can increase the complexity of a company, resulting in more compensation for executives to lead an increasingly diversified organization. In your opinion, what are the risks of complexity that would occur the more diversification a company undertakes?