A family owns a gelato business next to a small town's park, a favorite place for parents and children to stop on their way home from work or school. However, the business owner is barely making ends meet. He experiments by purchasing large take-home containers so customers can not only consume gelato in the park but also enjoy it after dinner at home. Sales of gelato soar and profits begin to rise. This is an example of a __________ strategy.

Question

Quizplus · Accepted Answer

Market penetration refers to increasing sales of an existing product in an existing market. In this scenario, the business owner is increasing sales of the existing product (gelato) by targeting the existing market (customers in the park) and also expanding it by offering take-home containers for customers to enjoy the product at home. Therefore, the best choice is B: market penetration.

A Family Owns a Gelato Business Next to a Small