This project concerns new business incubators. A new business incubator is a mechanism or facility for inducing conditions which will assist in the process of developing new businesses aspiring to bring to market a new or competitive product or service, and aspiring to create some form of organization that will support its business activities. It is proposed to study incubation processes in greater detail than heretofore which should aid in the development of fundamental organizational schemes for how such facilities can successfully add new projects or start-up firms to its overall effort or mixture of supported projects. This should lead to better understanding of the process and articulation of successful diversification strategies.