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Problem

Describe the product market expansion guide using both Ansoff’s and Day’s approaches.

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Step 1/3

The technology environment has a significant impact on judgments about entering a market. Technology can compel a company to exit an industry or provide the door for it to do so. Internet services have also drastically lowered the cost of communications to any market anywhere in the globe. They also give customers quick and easy access to competitive product and service options from vendors in numerous locations, allowing consumers to consider more companies when making a purchase (Heide and Weiss, 1995). Many people think that technology is the main force propelling businesses into new markets.

Step 2/3

The description of product market expansion guide using both Ansoff’s and Day’s approaches is as follows:

• A two-by-two framework called the Ansoff Matrix, also known as the Product/Market Expansion Grid, is utilized by management teams as well as the analyst community to assist design as well as assess growth projects.

• The tool specifically assists stakeholders in conceptualizing the degree of risk connected to various business expansion.

• Day (1990) expands each axis by including a third option (Related). On the grid's product and market axes, this is positioned between Current and New.

• A less hazardous method of growth than marketing strategy or diversification is bringing related products to current or related markets through product enhancements or line expansions.

• Unsurprisingly, diversifying into markets with items or services that are entirely unrelated to the company's current market segments is the riskiest course to pursue.

• A company's management may believe that if it succeeds in one area, it may expand into other fields to use these skills in new ways, but as Day points out, "in actuality these projected synergies are most often myths."

Step 3/3

As stated, is the explanation of a product market expansion strategy that combines Day's and Ansoff's methods.