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Ansoff Growth Matrix, developed by Igor Ansoff, a Russian-American mathematician, is a kind of matrix that focuses on the present and potential products/services and markets/customers of a firm aiming at its corporate growth and success. This is one of the popular business and growth tools that help the managers in achieving growth in their businesses through the existing or new products ensuring its share either in the existing or newer markets. It suggests four strategies combining product and market types. These are -
Market Penetration: This is for achieving growth with the existing products in the current market segment. Its main aim is to increase the market share.
Market Development: This targets the existing products to newer market segments.
Product Development: In this firm aims at developing new products for the existing market segments.
Diversification: This involves diversifying into newer businesses for which new products are developed and are targeted to newer markets.