Market Expansion

Market Expansion

Market Expansion Jonathan Poland

Market expansion is a business strategy that involves increasing the reach and presence of a company’s products or services in new or existing markets. This can be achieved through a variety of methods, such as entering into new geographic regions, expanding the company’s target customer base, or offering new products or services.

There are several reasons why a company may choose to pursue market expansion. For example, a company may be looking to increase its sales and profits, diversify its revenue streams, or enter into new markets to reduce its reliance on a single market or customer base.

There are several methods that a company can use to expand its market presence. These include:

  1. Entering new geographic regions: This can be done through a variety of methods, such as opening new physical locations, establishing distribution networks, or entering into partnerships with local companies.
  2. Expanding the target customer base: A company can expand its customer base by targeting new demographics or offering products or services that appeal to a broader audience.
  3. Introducing new products or services: A company can expand its market presence by introducing new products or services that meet the needs of new or existing customers.
  4. Acquiring other companies: A company can also expand its market presence by acquiring other companies that have established customer bases or distribution networks in new markets.

There are a number of risks and challenges associated with market expansion, including the cost of entering new markets, the need to adapt to local cultural and regulatory differences, and the risk of increased competition. It is important for companies to carefully evaluate the potential benefits and risks of market expansion before making a decision to pursue this strategy.

Consumer Service to Business Service
A movie theater rents out theaters during business hours for events, conferences and meetings.

Consumer Service to Consumer Service
A cafe in a business district is only busy on business days. In order to increase revenue on weekends they host community organized events such as a repair cafe.

Consumer Product to Business Product
A mobile device that is mostly purchased by consumers develops office productivity apps and begins to sell directly to businesses with personal selling techniques.

Customer Product to Consumer Product
Selling a product to a new market to serve a different customer need. For example, selling packages of baking soda as an air freshener for a refrigerator.

Customer Product to Consumer Service
Offering a product as a service such as a solar panel system that is sold as a utility service with a monthly electric bill as opposed to a upfront purchase of the system.

Business Service to Consumer Service
A corporate catering service begins to target weddings and other private events.

Business Service to Business Service
A customer service outsourcing firm begins to sell its service for internal processes such as an IT help desk that serves internal customers of a firm.

Business Product to Consumer Product
Marketing business products such as high-end office chairs known for their ergonomics to employees working from home.

Business Product to Business Product
Finding a new use for a business product. For example, offering to brand standard office stationery such as sticky notes such that they become promotional items that can be given to clients.

Business Product to Business Service
Offering business equipment with leasing, maintenance, management and other value added services. For example, selling a coffee service as opposed to a coffee maker.

Learn More
Idea Generation Jonathan Poland

Idea Generation

Idea generation is the process of generating new and original ideas. It is an essential component of the innovation process…

Penetration Pricing Jonathan Poland

Penetration Pricing

Penetration pricing is a pricing strategy in which a company initially sets a low price for its products or services…

Business Optimization Jonathan Poland

Business Optimization

Business optimization is the ongoing process of evaluating the efficiency, productivity, and performance of a business and identifying ways to…

What is a Trade Show? Jonathan Poland

What is a Trade Show?

A trade show is an industry-specific event where businesses in a particular sector showcase their products, services, and innovations to…

Customer Acquisition 101 Jonathan Poland

Customer Acquisition 101

Customer acquisition is the process of acquiring new customers for a business or organization. It involves identifying potential customers, creating…

What is Stagflation? Jonathan Poland

What is Stagflation?

Stagflation is a period of high inflation, low economic growth and high unemployment. Stagflation is a economic phenomenon in which…

Taxes Jonathan Poland


Taxes are mandatory financial contributions that are levied by a government on individuals, businesses, and other organizations. The money collected…

Self-Assessment Jonathan Poland


Self assessment is the process of evaluating one’s own work performance and identifying areas for improvement. This can be a…

Marketing Metrics Jonathan Poland

Marketing Metrics

Marketing metrics are a way to evaluate the success of marketing efforts at various levels, such as the organization, team,…

Search →
content database

Search my thinking on business, finance,
and the capital markets or start below

Customer Preferences Jonathan Poland

Customer Preferences

Customer preferences are the specific desires, likes, dislikes, and motivations that influence a customer’s purchasing decisions. These preferences complement customer…

Due Diligence Jonathan Poland

Due Diligence

Due diligence refers to the level of investigation, care, and judgement that is appropriate and expected in a given situation.…

Law of Supply and Demand Jonathan Poland

Law of Supply and Demand

The Law of Supply and Demand is one of the fundamental principles of economics. It states that the quantity of…

Exit Strategy Jonathan Poland

Exit Strategy

An exit strategy is a plan for how to end a business venture, investment, or project. It is a way…

Human Resources Jonathan Poland

Human Resources

Human resources is the department within a business that is responsible for managing and coordinating the people who work for…

What is Globalization? Jonathan Poland

What is Globalization?

Globalization refers to the increasing interconnectedness and interdependence of the world’s economies, cultures, and populations, brought about by advances in…

Embedded System Jonathan Poland

Embedded System

An embedded system is a specialized computer designed to perform a specific task. It consists of both hardware and software…

Organizational Culture Jonathan Poland

Organizational Culture

Organizational culture refers to the shared beliefs, values, customs, behaviors, and symbols that characterize an organization and differentiate it from…

Tactical Planning Jonathan Poland

Tactical Planning

Tactical planning is the process of developing specific strategies and actions to achieve the objectives of an organization. It involves…