Welcome to the Ansoff Matrix Guide

What is the Ansoff Matrix?

My favorite definition is: "The Ansoff growth matrix assists organizations to map strategic product market growth"
 

Sample diagram - an example of the
Ansoff Matrix

 

The four key factors:

Market Penetration + Product Development + Development + Diversification

In order to make a worthwhile analysis it is also important to consider other factors, such as the condition of the market. You will need to know if it is in growth, decline or entering recession. Competition levels and amount of resources available need also to be taken into account.

 

 

History

The Ansoff Matrix was invented by H. Igor Ansoff. Ansoff was primarily a mathematician with an expert insight into business management. It is believed that the concept of strategic management is widely attributed to the great man.

Analysis Paralysis

Some schools of thought believe that the use of strategic management tools such as the Ansoff Matrix can result in an overuse of analysis. In fact, Ansoff himself thought about this and it was he who first mentioned the now famous phrase "paralysis by analysis". Make sure that you do not fall victim to procrastination caused by excessive planning.

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