Which of the following is a primary distinction between a line extension and a product modification?
A) A product modification results in a completely new product, while a line extension is simply changing an old product.
B) Both line extension and product modification involve alteration of an existing product, but the alteration is more dramatic with a product modification than it is with a line extension.
C) A line extension is designed to aptly meet the needs of an existing market segment, while a product modification targets entirely new market segments.
D) With a product modification, the original product is replaced in the product line, while with a line extension, the original product remains intact in the product line.
E) A line extension consists of strictly aesthetic changes to an existing product, whereas a product modification consists of changes in quality and functionality.
Correct Answer:
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