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  • Ansoff's Product Market Grid

    Diunggah oleh

    Narender Singh
    90 tayangan14 halaman
    The document discusses Ansoff's Matrix, which represents options for sales growth through new opportunities. It outlines two variables in strategic marketing decisions - the market and product. For the market, options are existing or new markets. For the product, options are existing or new products. The matrix shows four strategies based on these variables - market penetration, market development, product development, and diversification - with diversification being the riskiest. It provides examples to illustrate each strategy.

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    The document discusses Ansoff's Matrix, which represents options for sales growth through new opportunities. It outlines two variables in strategic marketing decisions - the market and product. For the market, options are existing or new markets. For the product, options are existing or new products. The matrix shows four strategies based on these variables - market penetration, market development, product development, and diversification - with diversification being the riskiest. It provides examples to illustrate each strategy.

    Hak Cipta:

    Attribution Non-Commercial (BY-NC)
    Unduh sebagai PPTX, PDF, TXT atau baca online dari Scribd
    Tandai sebagai konten tidak pantas
    90 tayangan14 halaman

    Ansoff's Product Market Grid

    Diunggah oleh

    Narender Singh
    The document discusses Ansoff's Matrix, which represents options for sales growth through new opportunities. It outlines two variables in strategic marketing decisions - the market and product. For the market, options are existing or new markets. For the product, options are existing or new products. The matrix shows four strategies based on these variables - market penetration, market development, product development, and diversification - with diversification being the riskiest. It provides examples to illustrate each strategy.

    Hak Cipta:

    Attribution Non-Commercial (BY-NC)
    Unduh sebagai PPTX, PDF, TXT atau baca online dari Scribd
    Tandai sebagai konten tidak pantas
    dari 14

    Long-term business strategy is dependant on planning for their introduction Ansoff Matrix represents the different options open

    to a marketing manager when considering new opportunities for sales growth

    Two variables in Strategic marketing Decisions:


    The market in which the firm was going to operate The product intended for sale

    In terms of the market, managers had two options: Remain in the existing market Enter new ones

    In terms of the product, the two options are:


    selling existing products developing new ones

    Existing

    PRODUCTS
    INCREASING RISK

    New

    Existing

    MARKET PENETRATION

    PRODUCT DEVELOPMENT INCREASING RISK

    Sell more in existing Markets MARKETS MARKET EXTENSION

    Sell new products in existing markets

    DIVERSIFICATION

    New

    Achieve higher sales/market share of existing products in new markets

    Sell new products in new Sell new products in new markets markets

    Existing

    PRODUCTS
    INCREASING RISK

    New

    Existing

    MARKET PENETRATION

    INCREASING RISK

    Sell more in existing Markets MARKETS

    New

    This is the objective of higher market share in existing markets


    E.g. in 2000, Mitsubishi announced a 10% reduction in prices in the UK in order to encourage purchases

    Existing

    PRODUCTS INCREASING RISK

    New

    Existing

    MARKET PENETRATION

    INCREASING RISK

    Sell more in existing Markets


    MARKETS MARKET EXTENSION

    New

    Achieve higher sales/market share of existing products in new markets

    This is the strategy of selling an existing product to new markets. This could involve selling to an overseas market, or a new market segment
    --RED BULL selling there soft drink in Indian market many other e.g.

    Existing

    PRODUCTS

    New

    Existing

    MARKET PENETRATION

    INCREASING RISK
    PRODUCT DEVELOPMENT

    INCREASING RISK

    Sell more in existing Markets MARKETS

    Sell new products in existing markets

    MARKET EXTENSION

    New

    Achieve higher sales/market share of existing products in new markets

    Least risky of all four strategies This involves taking an existing product and developing it in existing markets
    E.g. Coca-Cola. This has been developed to have vanilla, lime, cherry and diet varieties (amongst others) in the SOFT DRINKS market

    Existing

    PRODUCTS
    INCREASING RISK

    New

    Existing

    MARKET PENETRATION

    PRODUCT DEVELOPMENT INCREASING RISK

    Sell more in existing Markets MARKETS MARKET EXTENSION

    Sell new products in existing markets

    DIVERSIFICATION

    New

    Achieve higher sales/market share of existing products in new markets

    Sell new products in new markets

    This is the process of selling different, unrelated goods or

    services in unrelated markets


    This is the most risky of all four strategies
    E.g. the Reliance Group

    Risks involved differ substantially The matrix identifies different strategic areas in

    which a business COULD expand Managers need to then asses the costs, potential gains and risks associated with the other options

    Risks involved differ substantially The matrix identifies different strategic areas in which a

    business COULD expand Managers need to then asses the costs, potential gains and risks associated with the other options

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