Which growth strategy to adopt? | RSM Kenya

First published on:  https://www.rsm.global/kenya/insights/consulting-insights/which-growth-strategy-adopt

Ansoff Growth Matrix is a strategic tool that forms a basis for many companies when considering growth strategies.

BY PALAK TEWARY

The model is based on two axes: products and markets and suggests four growth strategies, namely:

  • Market penetration
  • Market development
  • Product development
  • Diversification

Market penetration

Market penetration is a strategy that aims to increase market share by increased sale of prevailing products or services in the present markets. Approaches adopted for this strategy include:

  • Reduction in price to increase sales from current customers or obtain new customers
  • Promotional activities to attract customers
  • Increased distribution channels
  • Acquirement of another company within the present market

Read more here

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