What does 'market-seeking' aim to achieve?

What does 'market-seeking' aim to achieve?

• A. Enhance production capabilities
• B. Access natural resources
• C. Sell products or services to new customers
• D. Upgrade technological capabilities

Answer: (C)

The concept of 'market-seeking' is fundamentally centered on the objective of penetrating new markets to attract and sell products or services to new customers. This strategy is employed by businesses that aim to expand their customer base beyond their existing geographical or demographic boundaries. By focusing on new markets, companies can increase their sales volume, potentially enhance their brand recognition, and achieve better economies of scale. Focusing on accessing new customers allows businesses not only to diversify their revenue streams but also to mitigate risks associated with over-reliance on existing markets, which may face saturation or economic downturns. This proactive approach can also help in identifying emerging trends and responding to local consumer preferences that could be advantageous to the firm. The other options, while relevant to various strategic objectives, do not encapsulate the specific goal of market-seeking. For instance, enhancing production capabilities, accessing natural resources, and upgrading technological capabilities are more aligned with operational efficiency and capacity building rather than explicitly targeting market expansion for customer acquisition.

The concept of 'market-seeking' is fundamentally centered on the objective of penetrating new markets to attract and sell products or services to new customers. This strategy is employed by businesses that aim to expand their customer base beyond their existing geographical or demographic boundaries. By focusing on new markets, companies can increase their sales volume, potentially enhance their brand recognition, and achieve better economies of scale.

Focusing on accessing new customers allows businesses not only to diversify their revenue streams but also to mitigate risks associated with over-reliance on existing markets, which may face saturation or economic downturns. This proactive approach can also help in identifying emerging trends and responding to local consumer preferences that could be advantageous to the firm.

The other options, while relevant to various strategic objectives, do not encapsulate the specific goal of market-seeking. For instance, enhancing production capabilities, accessing natural resources, and upgrading technological capabilities are more aligned with operational efficiency and capacity building rather than explicitly targeting market expansion for customer acquisition.