We can increase the business in two basic ways increase the sales of existing products or increase the range of products. Such increase in sales can be within the existing market segments serviced by the company or in new market segments. Combining these two dimensions of ways of growth or increasing sales, we can identify following four distinct types of growth opportunities for any company.
- Increasing sale of existing product in existing market. For example a car manufactures selling one model of car within a country can increase the sale of the same model within the country by various means such as advertising, price cutting, promotion schemes, and the like.
- Selling the existing product in new market segments. For example the company may try to export its cars in addition to selling in within the country.
- Introducing new products in existing market. For example developing a small car in addition to the existing model of car and sell it within the country.
- Introducing a new product in new market. For example developing a new model of car for export to other countries.