Explain in brief the expansion strategy as one of the corporate strategy. Also state the characteristics of expansion strategy.

(b) An Expansion Strategy (also called Growth Strategy) is a corporate-level strategy where a business redefines its scope by enlarging its operations and significantly increasing its investment. This strategy symbolizes dynamism, vigour, promise and success. It involves major initiatives such as entering new markets, adopting new technologies, launching new products and making fresh investments. Expansion strategy often involves pursuing ambitious growth, which can be risky yet rewarding. Characteristics of Expansion Strategy Redefinition of Business Scope: The strategy involves a fundamental reshaping of the corporation's business operations by exploring new areas, markets and technologies. High Risk – High Reward Nature: Unlike stability strategy, expansion is characterized by high risks but also potentially high rewards. It is suited for firms willing to take bold steps for growth. Facilitates Business Growth: It is a key strategy for firms aiming at substantial business growth, helping them to meet large-scale ambitions. Drives Renewal through Investment: Expansion enables the renewal of the firm through fresh investments in new businesses, products and markets. Versatile Strategy with Multiple Growth Routes: The strategy is flexible and versatile, allowing firms to design growth through various permutations in products, markets and functions. It encompasses two major routes: Intensification – Growth in existing business areas. Diversification – Growth through entry into new business areas.