What strategy involves offering new products in existing markets?

The strategy that involves offering new products in existing markets is known as product development. This approach focuses on innovating and introducing new products specifically tailored for current customers or market segments, leveraging existing market knowledge, and customer relationships.

Product development allows businesses to respond to changing consumer preferences or to fill gaps in their product lines while retaining their established market presence. By doing so, companies aim to increase their market share and potentially boost customer loyalty, providing consumers with more choices and addressing their evolving needs.

Market penetration relates more to increasing sales of existing products in existing markets, while market development involves introducing existing products to new markets. Diversification entails entering new markets with new products, which is distinct from the product development strategy.