In the paper, we found out types of diversification suitable for small wholesale business in Ukraine in wartime. The most suitable types of diversification are: service, product, financial and geographic diversification. Also, horizontal, vertical, conglomerate and concentric types of diversification can be applied, taking into account their benefits and potential pitfalls defined in this paper.We also considered diversification as a value-creating strategy, outlined its main benefits and pitfalls. It offers several benefits, such as risk reduction by spreading investments across industries, thus reducing dependence on one market. It allows for synergies in related diversification through shared resources and expertise, enhancing efficiency and profitability. Additionally, diversification enables portfolio optimization, balancing performance across various sectors. However, it entails challenges like integration difficulties, potential overextension, and the risk of not realizing expected synergies. Effective diversification requires a clear strategic rationale, meticulous execution, and continuous monitoring, with willingness to divest from underperforming areas to sustain value creation.We suggested using Value Chain Analysis for choosing the most effective strategy of diversification for small wholesale business and developed Value Chain of a Small Wholesale Business (particularly, with heating equipment wholesale as a main type of activity).By understanding how each activity affects customer value, businesses can tailor their strategies to enhance customer satisfaction and loyalty. This might involve improving product quality, customer service, or any other activity directly impacting the customer experience.Value Chain Analysis is a strategic lens through which a business can view its activities and make informed decisions about where to focus its resources to maximize value creation.The next step of choosing the most effective value-creating strategy is building a Value Drivers Tree for each strategy considered and choosing the one creating the highest value of business.