Question

Many states create licensing requirements for a variety of professionals (such as lawyers and accountants) designed to restrict entry into their market by professionals from other states. This strategy limits ____________ growth strategies.
a. product proliferation
b. market development
c. market penetration
d. diversification Product

Answer 1

Answer:

The correct answer is option B. This strategy limits market development growth strategies.

Explanation:

Market development is a strategy in which a company tries to sell an existing product to a new group of consumers or non-buying customers in currently targeted segments. It enters new markets to expand revenue and reduce concentration risk. A market development strategy also targets new customers in new segments.

Creating licence requirements for professionals which is designed to restrict entry into their markets by professionals from other states would limit market development growth strategies.