In the Ansoff Matrix, which growth strategy corresponds to existing product and existing market?

• A. Market Development
• B. Product Development
• C. Diversification
• D. Market Penetration

Answer: (D)

Market Penetration is the strategy that fits when you want to grow with an existing product in an existing market. It focuses on increasing your current share of customers and volume in the same market, using tactics like more aggressive promotions, price incentives, boosting distribution and availability, or strengthening brand loyalty. Because you’re leveraging an established product and an existing customer base, this approach generally carries lower risk and uses familiar capabilities. In contrast, the other options would involve either reaching new customers with the same product, developing new products for the current market, or pursuing both new products and new markets, which bring higher risk and different sets of challenges.