Degree of diversification is never used as a measure of business
success in the business world. Its merely a strategy.
One of the uses is actually stave off the effects or danger of
running a single or few business. The more you diversify, the less
risk you gonna have with. But will such move benefit JP, or its to
serve his own interest, aka save his own backside? You decide. Most
large companies in the MLM industry is actually a single company.
The advantage, or rather, the good thing about this is that the
bosses actually focus all his strength on that business, and aim to
improve the welfare of the distributors by channelling all profits
towards them, such as organising more seminars, cutting the prices
of products.
Another use, is like what other say, is to earn quick bucks.
Related to the point above, its very unusual for a company, even
for successful ones, to diversify so quickly. Plus all the
potential quick scam a binary system could offer, you can see where
i am going... 
