Question

NutriPro has many business divisions. One of its business divisions has a large customer base for its breakfast cereal in Oriel. NutriPro's other business division sells cookies in Lanslot. NutriPro has now introduced its cookies in Oriel. To ensure good sales, the company is also offering discounts. Which of the following strategies is illustrated in this scenario?
a. Restraint of trade
b. Self-dealing
c. Market penetration
d. Divestment

Answer 1

Answer:

The correct option is: c. Market penetration

Explanation:

Market penetration is a strategy which involves successfully selling the products or services to the existing market in order to gain higher market share. It involves selling more products to the existing customers and also attracting and selling products to new customers.

This can be accomplished by competitive pricing, penetration pricing, giving discounts or increasing the marketing communications.