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      Question

      If a bank introduces a new digital-only credit card for

      existing customers, it is practicing:
      A Diversification Correct Answer Incorrect Answer
      B Market development Correct Answer Incorrect Answer
      C Product development Correct Answer Incorrect Answer
      D Undifferentiated marketing Correct Answer Incorrect Answer
      E Harvesting Correct Answer Incorrect Answer

      Solution

      Product development means new product for existing market. Why others are incorrect: Diversification = new product + new market; Market development = same product in new market; Undifferentiated = same for all; Harvesting = decline stage strategy. Banking Example: Digital credit card for existing savings account holders.

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