The marketplace penetration approach is the least risky as it leverages many of the firm's existing resources and capabilities. In a growing market, simply keeping market share will mean growth, and there may well exist for you to increase business if competition reach capability limits. Yet , market penetration has limits, and once the industry approaches saturation another strategy must be attacked if the company is to always grow. Marketplace development options include the quest for additional marketplace segments or perhaps geographical areas. The development of fresh markets to get the product might be a good approach if the firm's core competencies are related more for the specific item than to its experience of a specific market segment. Because the firm is definitely expanding to a new market, a market advancement strategy typically has more risk than a marketplace penetration technique. A product expansion strategy could possibly be appropriate in the event the firm's advantages are relevant to its specific customers rather than to the specific product on its own. In this circumstance, it can leveraging its strengths by developing a new product geared to its existing customers. Similar to the case of new market development, new product advancement carries more risk than simply attempting to maximize market share. Variation is the most dangerous of the several growth strategies since it needs both merchandise and market development and might be away from core competencies of the organization. In fact , this quadrant of the matrix has become referred to by some while the " suicide cell". However , diversity may be a reasonable choice in the event the high risk is definitely compensated by the chance of a higher rate of return. Different advantages of variation include the potential to gain a foothold within an attractive market and the decrease of general business profile risk.