________ strategies emphasize both new products and new markets to achieve growth.
A) Diversification
B) Market penetration
C) Market development
D) Product development
E) Cash cow

Question

Quizplus · Accepted Answer

Diversification strategies involve pursuing both new products and new markets to achieve growth. This could mean developing new products to sell to existing markets, or finding new markets to sell existing products to, or a combination of both. Market penetration strategies focus on increasing sales of existing products in existing markets, product development strategies aim to increase sales by developing new products for existing markets, and market development strategies involve selling existing products in new markets. The cash cow strategy refers to a mature product or service with a high market share and slow growth, which generates steady cash flow but requires little investment.

________ Strategies Emphasize Both New Products and New Markets to Achieve