Starbucks created a corporate strategy that said: For every town in North America that has a population of 50,000,we will have at least two Starbucks stores.This is an example of which strategy?

Question

Quizplus · Accepted Answer

The Starbucks strategy of having two stores in every town with a population of 50,000 is an example of market penetration. Market penetration is a strategy where a company focuses on increasing its market share in existing markets with existing products. In this case, Starbucks is focusing on increasing its presence in towns where it already has a presence by opening more stores. It is not market development, as they are not targeting new markets, nor product development or diversification as they are not introducing new products or entering new markets.

Starbucks Created a Corporate Strategy That Said: for Every Town