If a cola producer bought out a Mango juice producer in an attempt to appeal to health-conscious consumers who do not drink soft drinks, it would be pursuing a ______________ opportunity.

Question

Quizplus · Accepted Answer

Diversification involves entering a new market or industry that is different from the company's current products or markets. In this case, the cola producer is entering the fruit juice market by acquiring a mango juice producer, which is a new industry for them. This move is aimed at appealing to health-conscious consumers who do not typically consume soft drinks, which shows a strategic effort to diversify the company's product offerings to meet changing consumer preferences. Market development involves expanding into new segments of existing markets, market penetration involves increasing market share in existing markets, and product development involves creating new products for existing markets.

If a Cola Producer Bought Out a Mango Juice Producer