Often the strategy of altering an existing product:
A) is more risky than developing a new product.
B) is more expensive than developing a new product.
C) does not allow a company to engage in market segmentation.
D) prevents a company from positioning its products.
E) is more profitable than developing a new product.

Question

Quizplus · Accepted Answer

Altering an existing product often involves less risk and cost than developing a new product from scratch, as the existing product already has a market presence and customer base. This strategy can also allow for market segmentation and product positioning by targeting different customer needs or preferences with variations of the product. Therefore, it can be more profitable due to lower development costs and leveraging existing brand equity.

Often the Strategy of Altering an Existing Product