Why Would a Company Choose to Use an Established Brand

question 5

Multiple Choice

Why would a company choose to use an established brand name when introducing a new product?

• A) Since the brand name is already well established,the firm can spend less in developing consumer brand awareness and brand associations for the new product.
• B) Since the original brand or the brand extension has strong consumer acceptance,the positive perception will carry over to the other product.
• C) An established brand name can be useful when introducing a complementary product.
• D) The new product introduction can often be accomplished more quickly when using an established brand name.
• E) All of these.

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Definitions:

Torn Ligament

A stretch or tear of a ligament, the fibrous tissue connecting bones and joints, often caused by sudden twists or excessive force.

Calcaneus

The largest bone in the foot, also known as the heel bone, that forms the foundation of the rear part of the foot and serves as an important point for the attachment of muscles and ligaments.

Osteoarthritis

A degenerative joint disease characterized by the breakdown of joint cartilage and underlying bone, leading to pain and stiffness.

Autoimmune Disease

Disease resulting from a specific immune system reaction against self-antigens.