Line extensions are more common than new products because line extensions:
A) only focus on increasing sales within the existing market segment.
B) are guaranteed to succeed in the marketplace.
C) are a less expensive and lower-risk alternative for increasing sales.
D) require no market research.
E) do not keep the original product in the line after extension.

Question

Quizplus · Accepted Answer

Line extensions are less expensive and lower-risk because they leverage existing brand recognition and customer loyalty, reducing the costs and uncertainties associated with launching entirely new products.

Line Extensions Are More Common Than New Products Because Line