Starbucks Coffee has recently begun selling and playing compilation CDs and is supporting its own XM satellite radio station.This represents which strategy for growth?
A) product development
B) market development
C) market penetration
D) diversification
E) partner development

Question

Quizplus · Accepted Answer

Selling and playing compilation CDs and supporting its own XM satellite radio station is an example of diversification, as Starbucks is expanding into new products and services that are not directly related to its core business of selling coffee.

Starbucks Coffee Has Recently Begun Selling and Playing Compilation CDs