Market Penetration describes growth by which scope?

• A. Existing product in existing market; Maintain or increase market share; Drive out competitors
• B. New product in existing market; Expand product range
• C. New product in existing markets; Enter new geographic regions
• D. Diversification into new products

Answer: (A)

Market penetration is about growing within the current product and current market. The aim is to increase (or defend) market share using the existing product, often through more aggressive marketing, pricing, distribution, or competitive strategies in the same market. The option that describes an existing product in an existing market with the goal of maintaining or increasing market share (and potentially driving out competitors) fits this scope exactly. The other options describe pursuing growth by developing a new product in the same market, or by using the same product in new markets, or by introducing new products in new markets—different approaches known as product development, market development, or diversification.