The authors find that business group affiliation continues to generate higher market valuation vis-à-vis standalone firms ten years into the transition, but diversification is not the source of these benefits.
Link
http://www.igidr.ac.in/pub/pdf/WP-2005-006.pdf#search=%22Diversification%2C%20Propping%20and%20Monitoring%3A%20Business%20Groups%2C%20Firm%20Performance%20and%20the%20Indian%20Economic%20Transition%22