Delta Motors, an American multinational automaker, was the first company to develop an affordable electric car. Delta Motors aimed to diversify its growth by launching an environment-friendly, affordable electric car. What offensive strategies is Delta Motors pursuing?

The options are given below:

A) harvest for cash flow.

B) divest for cash flow.

C) improve customer loyalty.

D) enter related new market segments.

E) enter unrelated new market segments.

The correct option is D.

Explanation: Delta Motors is in the business of making automobiles. Their market segment will include people who use vehicles.

Therefore, in developing an affordable electric car, Delta Motors will still be in the business of servicing their current market segment, which is, people who use vehicles.

This segment will be new, but still related to the business that Delta Motors is involved in, because they will still be producing cars.

However, if we assume that Delta Motors now want to go into the business of making planes, they will service a totally unrelated new market segment, because making planes and making cars are two entirely different kinds of business.

Complete question includes following options.

A) harvest for cash flow.

B) divest for cash flow.

C) improve customer loyalty.

D) enter related new market segments.

E) enter unrelated new market segments.

Correct option D.

D) enter related new market segments.

Explanation:

Offensive strategies Delta Motors is pursuing are enter related new market segments.

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