Whether diversification benefits a corporation and its shareholders have been the subject of relevant discussion and research wherein economist and policy managers are working at different fronts towards gaining sustainable advantage and development. Present paper investigates possible measures to understand the effect of product diversification strategy on capital structure (CS) and corporate performance with respect to Indian context. The study involved database collected from non-financial companies listed in NSE and BSE for determining the relationship between variables- corporate growth, size, asset tangibility and profitability. However, research design using different models have been used to analyse the possible effects and relationships in between and among the dependent and independent variable of the study. In conclusion, study variables are associated and different relationships have been captured, analysed and interpreted using statistical tools (E-Views) and techniques. The results are representing and focussing the importance in line of the context of the study. These findings and results are pertinent for managers and top management assessing diversification strategies for investors, shareholders choosing suitable corporate and for researchers seeking to describe corporate performance differences.