When a Company Develops a New Brand in the Same

question 6

Multiple Choice

When a company develops a new brand in the same category in which the firm already has a branded product, it is a:

• A)brand extension.
• B)private brand.
• C)flanker brand.
• D)complementary brand.

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Definitions:

Trade Discount

A reduction in the listed price of goods or services, usually offered to members of the same trade or business sector.

Volume Purchase Discount

A volume purchase discount is a price reduction offered to buyers who purchase large quantities of goods or services.

Appliance Warehouse

An appliance warehouse is a large storage facility dedicated to housing household appliances like refrigerators, stoves, and washers for sale.

Payments

The act of transferring money to fulfill an obligation, such as in purchasing goods or services or repaying a loan.