Exploring the Ansoff Matrix Strategies

Which of the following best describes the main purpose of the Ansoff Matrix?

• To analyse a company’s financial statements

• To help businesses decide their product and market growth strategy

• To measure employee performance

• To calculate production costs

In the Ansoff Matrix, which strategy involves selling more of existing products to existing markets?

• Market Development

• Diversification

• Market Penetration

• Product Development

Which of the following is an example of a Product Development strategy?

• Launching a new product in a new country

• Introducing a new flavour of crisps to your current customers

• Selling existing products to a new age group

• Lowering prices to increase sales in your current market

What is the main risk associated with Diversification in the Ansoff Matrix?

• High competition in the current market

• Lack of knowledge about new products and new markets

• Over-reliance on existing products

• Decreasing market share

Which Ansoff Matrix strategy is being used when a British bakery starts selling its existing cakes in France for the first time?

• Market Penetration

• Product Development

• Market Development

• Diversification

A company decides to create a new app for its current customers. Which Ansoff Matrix strategy does this represent?

• Market Development

• Product Development

• Market Penetration

• Diversification

Which of the following is NOT a strategy in the Ansoff Matrix?

• Market Penetration

• Product Development

• Cost Leadership

• Diversification

If a company lowers the price of its existing products to attract more customers in its current market, which strategy is it using?

• Market Penetration

• Market Development

• Product Development

• Diversification

Which strategy in the Ansoff Matrix is considered the riskiest?

• Market Penetration

• Product Development

• Market Development

• Diversification

A British clothing brand starts selling winter coats in Canada for the first time. Which Ansoff Matrix strategy is this?

• Market Development

• Product Development

• Market Penetration

• Diversification