Brand Management Refers to

question 164

Multiple Choice

Brand management refers to

• A)picking a brand name for a new product that will attract attention.
• B)the efforts to maintain the differentiation of a product over time.
• C)efforts to reduce the cost of production.
• D)selling the right to use a brand name in a particular market.

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Definitions:

Security Market Line (SML)

Positively sloped straight line displaying the relationship between expected return and beta.

Arbitrage Pricing Theory (APT)

An equilibrium asset pricing theory that is derived from a factor model by using diversification and arbitrage. It shows that the expected return on any risky asset is a linear combination of various factors.

Arbitrage Pricing Theory (APT)

A financial model that estimates the price of assets based on the relationship between their expected return and macroeconomic factors that influence all assets' returns.

Market Risk Premium

The surplus return an investor aspires to earn by holding onto a market portfolio fraught with risks as compared to safeguarded, risk-free assets.