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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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