When Starbucks announced that it would release a new single-serve Verismo high-pressure brewing machines sale in its U.S.outlets,it was using a __________ strategy.
A)product development
B)market development
C)market penetration
D)diversification
E)market saturation

Question

Quizplus · Accepted Answer

By introducing a new product (the Verismo high-pressure brewing machine), Starbucks is engaging in product development, which involves creating new products for existing markets. The Verismo machine is not a new market for Starbucks, as it is being sold in their own outlets, but it is a new product that caters to the same market that Starbucks already serves.

When Starbucks Announced That It Would Release a New Single-Serve