Ansoff Matrix

The Ansoff Matrix, proposed by Professor Ansoff in 1957, outlines four strategies for business growth based on existing or new products and markets. These strategies are market penetration, market development, product development, and diversification. Market penetration focuses on increasing market share in existing markets with existing products. Market development involves expanding existing products into new markets. Product development introduces new products to existing markets. Diversification involves launching new products in new markets, often requiring innovation and entrepreneurship.

Explain the concept of product development as outlined in the Ansoff Matrix.

What does diversification entail in the Ansoff Matrix framework?