Ansoff Matrix

Ansoff MatrixTo portray alternative corporate growth strategies, Igor Ansoff presented a matrix that focused on the firm's present and potential products and markets (customers). By considering ways to grow via existing products and new products, and in existing markets and new markets, there are four possible product-market combinations. Ansoff's matrix is shown below:

	Existing Products	New Products
Existing Markets	Market Penetration	Product Development
New Markets	Market Development	Diversification

Ansoff's matrix provides four different growth strategies:

• Market Penetration - the firm seeks to achieve growth with existing products in their current market segments, aiming to increase its market share.

• Market Development - the firm seeks growth by targeting its existing products to new market segments.

• Product Development - the firms develops new products targeted to its existing market segments.

• Diversification - the firm grows by diversifying into new businesses by developing new products for new markets.

Selecting a Product-Market Growth Strategy

The market penetration strategy is the least risky since it leverages many of the firm's existing resources and capabilities. In a growing market, simply maintaining market share will result in growth, and there may exist opportunities to increase market share if competitors reach capacity limits. However, market penetration has limits, and once the market approaches saturation another strategy must be pursued if the firm is to continue to grow.

Market development options include the pursuit of additional market segments or geographical regions. The development of new markets for the product may be a good strategy if the firm's core competencies are related more to the specific product than to its experience with a specific market segment. Because the firm is expanding into a new market, a market development strategy typically has more risk than a market penetration strategy.

A product development strategy may be appropriate if the firm's strengths are related to its specific customers rather than to the specific product itself. In this situation, it can leverage its strengths by developing a new product targeted to its existing customers. Similar to the case of new market development, new product development carries more risk than simply attempting to increase market share.

Diversification is the most risky of the four growth strategies since it requires both product and market development and may be outside the core competencies of the firm. In fact, this quadrant of the matrix has been referred to by some as the "suicide cell". However, diversification may be a reasonable choice if the high risk is compensated by the chance of a high rate of return. Other advantages of diversification include the potential to gain a foothold in an attractive industry and the reduction of overall business portfolio risk.

http://www.quickmba.com/strategy/matrix/ansoff/

http://en.wikipedia.org/wiki/Product-Market_Growth_Matrix

http://www.ansoffmatrix.com/

Dance Of Democracy

Nice to see the new faces in the politics this year. Many new young and old citizens are taking interest in politics, which is a good sign for India. The likes of Capt. Gopinath and Lead india winner Mr Mishra are yet to be tested among the masses. This is a new phase in the history of india, as the young and the bold are ready to take on the world of politics which was a home ground for the old and experenced. Those who wil stay tall to the testing time of politics will be a standing testemony to the situation. Long hail the indian politics.

lay offffffffffff

Lay off!!!

Once upon a time the government with Ruling Party XYZ.. had a vast scrap yard in the middle of a desert. Ruling Party XYZ Said..
- "Someone may steal from it at night."

So they created a night watchman position and hired a person for the job. Then Ruling Party XYZ Said..
- "How does the watchman do his job without instruction? "

So they created a planning department and hired two people, one person to write the instructions, and one person to do time studies. Then Ruling Party XYZ Said..

- "How will we know the night watchman is doing the tasks correctly?"
So they created a Quality Control department and hired two people. One to do the studies and one to write the reports. Then Ruling Party XYZ Said.. ,

- "How are these people going to get paid?"
So they created the following positions, a time keeper, and a payroll officer, then hired two people. Then Ruling Party XYZ Said..,
- "Who will be accountable for all of these people?"

So they created an administrative section and hired three people, an Administrative Officer, Assistant Administrative Officer, and a Legal Secretary. Then Ruling Party XYZ Said..
- "We have had this command in operation for one year and we are $18,000 over budget, we must cutback overall cost."

So they laid off the night watchman .

kodak theater

Lights,camera and action....
L.A was at its best. The bold and the beautiful from the world of cinema had decended on the red carpet. It was the day of 81 annual awards.
"Slumdog Millionaire" was all over.It won 8 oscars including 2 for our own Rehman saab and 1 for Mr.Rusel. india wonn another award in best short documentry on a very courageous girl from U.P- Miss Pinky. Dressed in a typical rajasthani attire she with her cute little smile faced the cameras with a lot of confidence.she was with her dad,her doctor and the lady who brought her plight infront of the world.
It feels great to see that the western world is finally inching toward recognizing the Indian cinema.