Call Company, has 12 call centers worldwide.The firm is considering the purchase of a software firm that serves the oil and gas industry.Most likely, this would be classified as __________ in Ansoff's Product-Market Matrix.
A) Market diversification
B) Marketing strategy development
C) Market penetration
D) Product development
E) Market development

Question

Quizplus · Accepted Answer

Market diversification involves entering new markets with new products, which is exactly what Call Company would be doing if it were to purchase a software firm that serves the oil and gas industry. The software firm would be a new product for Call Company, and the oil and gas industry would be a new market for the company. Therefore, the best classification for this scenario in Ansoff's Product-Market Matrix is market diversification.

Call Company, Has 12 Call Centers Worldwide