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A business wants to quickly achieve a large market share for a product - HSC - SSCE Business Studies - Question 5 - 2023 - Paper 1
Question 5
A business wants to quickly achieve a large market share for a product. Which marketing strategy would most likely be used? A. Branding B. Skimming C. Penetration D.... show full transcript
Worked Solution & Example Answer:A business wants to quickly achieve a large market share for a product - HSC - SSCE Business Studies - Question 5 - 2023 - Paper 1
Step 1
Which marketing strategy would most likely be used?
Answer
To quickly achieve a large market share, the business would most likely use a penetration strategy.
Explanation: The penetration strategy involves setting a low price for a new product to attract customers and gain market share rapidly. This approach is designed to lure consumers away from competitors, making it effective for businesses looking to establish a strong presence in the market quickly.
Comparison with Other Options:
- Branding focuses on creating a strong identity but does not guarantee immediate market share.
- Skimming involves setting high prices initially and is not suitable for quickly capturing a market.
- Price points relates to pricing strategies but does not specifically indicate a method for gaining market share.
Thus, the correct answer is C. Penetration.