Which of the Following Statements About Product Line Extensions Is

question 277

Multiple Choice

Which of the following statements about product line extensions is most accurate?

• A)A product line extension strategy typically leads to increased advertising costs.
• B)There are no risks associated with a product line extension strategy.
• C)When the Clorox Company joins with Kroger supermarkets to advertise Clorox products in a local newspaper,it is engaged in a product line extension.
• D)A product line extension is a form of multiproduct branding.
• E)A product line extension is a form of multibranding.

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Definitions:

Neuroleptic Drugs

An alternative term for first-generation antipsychotic drugs, so called because they often produce undesired effects similar to the symptoms of neurological disorders.

First-Generation

Often refers to the first members of a family to achieve a significant milestone, such as attending college, or to technology or products introduced as initial models in their category.

Atypical Antipsychotic Drugs

A relatively new group of antipsychotic drugs whose biological action is different from that of the first-generation antipsychotic drugs. Also known as second-generation antipsychotic drugs.

Token Economy

A behavior modification system that utilizes tokens as reinforcement for desired behaviors, which can be exchanged for privileges or treats.