Question

Papa Tom's Pizza aims to increase sales to existing customers through innovative pricing, promotion, or distribution strategies. To achieve this goal, which strategic approach should Papa Tom's Pizza primarily adopt?

a) Market Penetration
b) Product Development
c) Market Development
d) Diversification
(Note: The correct answer corresponds to the most suitable strategy for increasing sales to existing customers through innovative approaches.)

Answer 1

To increase sales to existing customers through innovative approaches, Papa Tom's Pizza should primarily adopt the Market Penetration strategic approach.

Step-by-step explanation:

To increase sales to existing customers through innovative pricing, promotion, or distribution strategies, Papa Tom's Pizza should primarily adopt the Market Penetration strategic approach.

Market penetration involves focusing on selling more of the existing products to existing customers by using aggressive pricing, promotions, and distribution strategies. For example, Papa Tom's Pizza can offer discounted prices or bundle deals to encourage customers to buy more.