Business – 6.2 Business strategy – Developing business strategy | e-Consult
6.2 Business strategy – Developing business strategy (1 questions)
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Answer:
| Quadrant | Strategic Option | Risk Level |
| Market Penetration | Increase domestic sales of existing coffee blends through promotions. | Low |
| Product Development | Introduce a premium single‑origin line to current domestic customers. | Medium |
| Market Development | Export existing blends to foreign markets without product change. | Medium‑High |
| Diversification | Launch a new ready‑to‑drink coffee beverage in overseas markets. | High |
For the company’s stated aim—international expansion with a new product line—the most relevant quadrant is Diversification, which carries the highest risk due to unfamiliar markets and new product development. A less risky alternative would be Market Development using existing products, but it does not meet the “new product” requirement.