Strategic Matrix

GROUP MEMBERS:-

REEMA SHAILESH SNEHAL AJEET

Strategic Alternatives
Market Penetration Market Development Increase market share among existing customers Attract new customers to existing products Create new products for present markets Introduce new products into new markets

Product Development

Diversification

Strategic Opportunity Matrix

Present Product New Product

Present Market

Market Penetration

Product Development

New Market

Market Development

Diversification

Market penetration
A firm using the market penetration alternative would try to increase the market share among existing customers. Eg:- Ambuja Cements was started as a major campaign for UltraTech Cement but because of market penetration strategy, UltraTech Cement does aggressive advertising and price discounts to existing customers to increase the share in the market

Market Development
Market development means attracting new customers to existing products. Ideally, new uses for old products stimulate additional sales among existing customers while also bringing in new buyers. Eg:- UltraTech Cement Limited has 12 integrated plants, 1 white cement plant, 11 grinding units in India and 1 clinkerization plant in UAE, 15 grinding units( 11 in India, 2 in UAE, 1 each in Bahrain and Bangladesh)and 6 bulk terminals (5 in India and 1 in Sri Lanka).

Product development
A product development strategy entails the creation of new products for present eg:- UltraTech Cement Limited developed their product by introducing birla white cement, birla white wall care, etc.

Diversification
Increasing sales by introducing new products into new markets. Eg:- birla group diversifying in various product like ultratec cement, birla sun life insurance, birla tyres, birla copper, birla century bed & cover etc.

Thank you