©Themoon EXAM SOLUTIONS
22/11/2024 11:25AM
AQA A level business 3.8 Exam Questions
and Answers
Define Ansoff's matrix - Answers✓✓Method of analysing the risks associated with different
market positioning strategies
Define market penetration - Answers✓✓The strategy of achieving growth through targeting
existing customers with existing products
Examples of market penetration strategies x2 - Answers✓✓Product - slight alterations
(size,colour etc.)
price - sales /special offers
Reasons for market penetration x2 - Answers✓✓Least risky option - know customers and
products
If there has been an increase in market size
The value of market penetration x2 - Answers✓✓Relatively cheap option for growth
Is focused on building on established core comptences
Define market development - Answers✓✓The strategy of achieving growth through targeting
new customers with existing products
Example of market development strategies x2 - Answers✓✓Product - changing packaging
, ©Themoon EXAM SOLUTIONS
22/11/2024 11:25AM
Promotion - emphasising different benefits of the product
Reasons for market development x2 - Answers✓✓Have a successful product and model that is
replicable in new markets
fall in the size of target market
Value of market development x2 - Answers✓✓Little need for expensive product development
Build on business reputation
Drawbacks of market development x2 - Answers✓✓Need for market research - new customers
and competitors
may face cultural difficulties
Define product development - Answers✓✓The strategy of achieving growth through targeting
existing customers with new products
Example of product development strategies x2 - Answers✓✓Product - updates , new releases ,
changing colour and innovation
price - releasing a cheaper , basic version
Reasons for product development x2 - Answers✓✓Replace products at the end of their
lifecycle
Maintain demand and customer loyalty
Value of product development x2 - Answers✓✓Maintain customer loyalty
Create new revenue streams
22/11/2024 11:25AM
AQA A level business 3.8 Exam Questions
and Answers
Define Ansoff's matrix - Answers✓✓Method of analysing the risks associated with different
market positioning strategies
Define market penetration - Answers✓✓The strategy of achieving growth through targeting
existing customers with existing products
Examples of market penetration strategies x2 - Answers✓✓Product - slight alterations
(size,colour etc.)
price - sales /special offers
Reasons for market penetration x2 - Answers✓✓Least risky option - know customers and
products
If there has been an increase in market size
The value of market penetration x2 - Answers✓✓Relatively cheap option for growth
Is focused on building on established core comptences
Define market development - Answers✓✓The strategy of achieving growth through targeting
new customers with existing products
Example of market development strategies x2 - Answers✓✓Product - changing packaging
, ©Themoon EXAM SOLUTIONS
22/11/2024 11:25AM
Promotion - emphasising different benefits of the product
Reasons for market development x2 - Answers✓✓Have a successful product and model that is
replicable in new markets
fall in the size of target market
Value of market development x2 - Answers✓✓Little need for expensive product development
Build on business reputation
Drawbacks of market development x2 - Answers✓✓Need for market research - new customers
and competitors
may face cultural difficulties
Define product development - Answers✓✓The strategy of achieving growth through targeting
existing customers with new products
Example of product development strategies x2 - Answers✓✓Product - updates , new releases ,
changing colour and innovation
price - releasing a cheaper , basic version
Reasons for product development x2 - Answers✓✓Replace products at the end of their
lifecycle
Maintain demand and customer loyalty
Value of product development x2 - Answers✓✓Maintain customer loyalty
Create new revenue streams
