Even If Sales of a Brand Extension Are High and Meet

question 135

Multiple Choice

Even if sales of a brand extension are high and meet targets, the revenue may be coming from consumers switching to the extension from existing parent-brand offerings - in effect ________ the parent brand.

• A) diluting
• B) cannibalizing
• C) reinforcing
• D) eroding
• E) revamping

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Definitions:

Habituation

The psychological process of gradually becoming accustomed to a stimulus after repeated exposure, leading to a decrease in response.

Classical Conditioning

A learning process in which an innate response to a potent stimulus comes to be elicited in response to a previously neutral stimulus.

Operant Conditioning

A method of learning that employs rewards and punishments for behavior, where an association is made between a behavior and a consequence for that behavior.

Gestation

The period of development from the fertilization of an ovum until birth in pregnant mammals, including humans.