Assess the advantages of market penetration

Market penetration is the process on ansoffs matrix where the business sells existing products to existing consumers by offering loyalty schemes and trying to encourage repeat purchases. This will lead to an increase in sales and should lead to an increase market share as a result of market penetration. However, this is a low risk low reward option of growth as a business may not manage to increase sales that significantly and so the increase in market share could be minimal.

DO
Answered by David O. Business Studies tutor

2404 Views

See similar Business Studies A Level tutors

Related Business Studies A Level answers

All answers ▸

Explain the importance of Outsourcing to an an international firm.


Case Study: PLG Ltd’s financial position is relatively weak. To what extent should this be the most important influence on its promotional mix given its objective of growth


What is the structure of a 25 mark question and how should I go about answering it?


Explain one advantage and one disadvanatge of using temporary staff. (6 marks)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2025

Terms & Conditions|Privacy Policy
Cookie Preferences