Which retail expansion strategy involves a company establishing smaller-format stores in strategic urban locations before expanding to larger formats in a new geographic market?

Retail chains employ various strategies when expanding into new geographic markets. Understanding these approaches is crucial for business analysts, retail managers, and market researchers studying global retail patterns. This poll tests your knowledge of how major retail brands adapt their expansion strategies to different geographic contexts and cultural landscapes. Can you identify the correct expansion approach used by successful international retailers?

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Hub-and-spoke expansion: Starting with flagship stores in major cities, then expanding to surrounding areas
Beachhead approach: Using small-format stores to test market receptivity before committing to larger formats
Acquisition-first strategy: Buying local retailers to gain immediate market presence and distribution networks
Franchise-led penetration: Using local franchisees to establish presence while minimizing direct investment