Which of the Following Is an Example of Cannibalization

question 9

Multiple Choice

Which of the following is an example of cannibalization?

• A) A toothpaste manufacturer adds a new line of toothpaste (that contains baking soda) to its product line.
• B) A grocery store begins selling T-shirts featuring the local university's mascot.
• C) A basketball manufacturer adds basketball hoops to its product line.
• D) A convenience store begins selling pre-paid cell phones.

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Definitions:

Creditor Beneficiary

A third party that benefits from a contract, particularly one made between two other parties to pay a debt owed to the beneficiary.

Second-Party Beneficiary

An individual or entity that is not directly involved in a contract but stands to benefit from its execution, typically in contracts intended to benefit a third party.

Vesting

The process by which an individual acquires the right to a present or future payment, benefit, or asset, becoming fully guaranteed even if the individual's status changes.

Personal Service

Personal service is a type of service delivered by an individual to meet personal needs or requirements of customers, often characterized by direct interaction.