The Wall Street Journal has been trying to attract new customers by promoting its newspaper for student use in business classes. This is an example of
A. product development
B. diversification
C. market penetration
D. market development
E. target marketing
Answer: (D) This question relates to the four types of growth opportunities that firms may pursue. Product development (A) is marketing new products for existing customers. Since the WSJ is trying to attract new customers, (A) is incorrect. Diversification (B) is marketing new products to new markets. Since WSJ hasn't changed its "product," (B) is incorrect. Market penetration (C) is a growth strategy that involves selling existing products in existing markets, so this too is incorrect. Target marketing (E) is incorrect since it is too broad and doesn't specifically address the situation described in the question. The correct answer is market development (D), since it involves selling existing products (WSJ) in new markets (student population).