What Is the Primary Distinction Between a Line Extension and a Product

question 167

Multiple Choice

What is the primary distinction between a line extension and a product modification?

• A) A product modification results in a completely new product while a line extension is simply changing an old product.
• B) In both cases an existing product is altered, but the alteration is more dramatic with a product modification than it is with a line extension.
• C) Line extensions are designed to better meet the needs of the existing market segment while product modifications target entirely new segments of the market.
• D) With product modifications, the original product is replaced in the product line while both the old and the new products remain in the case of line extension.
• E) Line extensions are strictly aesthetic changes to an existing product whereas product modifications consist of changes in quality and functionality.

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Definitions:

Liberal Democracy

A political system characterized by free and fair elections, rule of law, and the protection of individual rights and freedoms.

Ruling Class

The social class that holds the dominant power in a societal hierarchy, often controlling resources and making key decisions.

Autocracy

Absolute power resides in the hands of a single person or party.

Pluralist Theory

Refers to a theory in political science and sociology which suggests that power in a society is distributed among multiple groups and that this multiplicity ensures that no single group achieves dominance.