For the past two decades, Nonna Luciana's has focused only on producing various pasta sauces in jars. The company is now considering entering the market for jarred pickles and olives as well. If Nonna Luciana's decides to enter this arena, it would be using a ________ strategy.

Question

Quizplus · Accepted Answer

Concentric diversification occurs when a company enters a new market that is related to its current products or services. In this case, Nonna Luciana's already produces jarred foods, and pickles and olives would be a related product. Therefore, entering the market for jarred pickles and olives would be an example of concentric diversification.

For the Past Two Decades, Nonna Luciana's Has Focused Only