Which of the Following Most Accurately Describes a Brand Extension

question 41

Multiple Choice

Which of the following most accurately describes a brand extension?

• A) a new product that combines the power of two or more brand names
• B) a new product sold under an established brand name
• C) a new product added to the lower end of a product mix
• D) a new product added to the higher end of a product mix
• E) a new product line added to a product mix

---

Definitions:

Sales Price

The amount for which a product is sold to the customer, excluding any discounts or taxes.

List Price

The suggested retail price of a product set by the manufacturer, before any discounts or promotions.

Inventory

The total amount of goods and materials held in stock by a business, warehouse, or point of sale.

Linear Model

A linear model is a mathematical representation used to describe the relationship between two variables by fitting a linear equation to observed data.