Explain the difference between a market penetration strategy and a market development strategy.

Expert Solution

Market development strategy and market penetration strategy are the two most important strategies used by the markets in order to expand within the market place.

While the market development strategy is a strategy that uses existing products or methods to expand themselves, the market penetration strategy adds a new product or employs another strategy to move deeper within a market place.

Market development strategy is employed by the firm's with strong customer base while the market penetration strategy is employed by those firms who doesn't have a strong customer base and are new to the market.

Market penetration strategy aims at increasing the market share while the market development strategy aims at getting more stronger amongst their competitors.

In a market penetration strategy, the markets sell their products in the same Market in order to increase their share while in the market development strategy, the markets sell their products in a different market.

Rahul Sunny answered 7 hours ago

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