Ansoff Matrix

Ansoff Matrix, also called the Product/Market Expansion Grid, is a tool used by firms to analyze and plan their strategies for growth. The matrix shows four strategies that can be used to help a firm grow.

The four strategies of the Ansoff Matrix are:

1. Market Penetration: This focuses on increasing sales of existing products to an existing market

2. Product Development: Focuses on introducing new products to an existing market

3. Market Development: This strategy focuses on entering a new market using existing products

4. Diversification: Focuses on entering a new market with the introduction of new products