Ancho Corp. is an automobile company whose core competency lies in manufacturing petrol- and diesel-based cars. The company realizes that more of its potential customers are switching to electric cars. The R&D department of the company acquires competencies in developing electric cars and launches its first hybrid car, which uses both gas and electricity. In this scenario, Ancho is primarily

A) leveraging new core competencies to improve current market position.B) redeploying existing core competencies to compete in future markets.C) unlearning existing core competencies to create and compete in markets of the future.D) building new core competencies to protect and extend current market position.

As is given in the scenario, the people that the company Ancho is trying to get are potential customers rather than existing, hence they cannot be said to be building new core competencies to protect and extend current market position. That would have been the case if they were trying to keep those that were already customers to the company.

Ancho cannot also be said to be redeploying existing core competencies to compete in future markets because they are actually acquiring new competencies in electric car manufacturing which was not their original line of business.

There is also no case of unlearning existing core competencies because Anchor has deployed existing competencies in developing a hybrid car rather than just an electric one.

Hence Anchor is trying to get new customers while keeping the old ones and has made a car that will appeal to both existing and potential customers to improve current market position.