Product Market Mix

1516 Words Feb 28th, 2011 7 Pages
Igor Ansoff Product /Market Mix
The Igor Ansoff product-market mix helps to understand and assess marketing or business development strategy. Any business, or part of a business can choose which strategy to employ, or which mix of strategic options to use. This is one simple way of looking at Strategic development options.

Existing Products New Products Market Penetration | Product Development | Market Development | Diversification |

Existing Markets

New Markets

Each of these strategic options holds different opportunities and downsides for different organizations, so what is right for one’s business won’t necessarily be right for another. Every organization should think
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This is an attractive strategy if you have strong market share in a particular market. Such a strategy can be a suitable reason for acquiring another company or product/service capability provided it is relevant to your market and your distribution route. Developing new products does no mean that you have to do this yourself (which is normally very expensive and frequently results in simply re-inventing someone else’s wheel) – often there are potential manufacturing partners out there who are looking for their own distribution partner with the sort of market presence that you already have. This option may be one that produces diminishing returns on your growth investments and activities and instead you may do better to seek develop new markets as is the next strategic option.
When the firm has successful products that are in the maturity stage of the product life cycle like Telone they should attract satisfied customers to try new, improved products as a result such as internet.. When an organization like NetOne competes in an industry that is characterized by rapid technological change, when major competitors like Econet and Telecel offer better quality products at comparable prices it will be high time they should start introducing new products like 3G which enable people to have video calls and browse the internet. When an Internet Service Provider competes in a high-growth
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