Using a successful brand name to introduce additional items in a given product category under the same brand same (such as new flavors, forms, colors, added ingredients or package seizes) is called a(n)?

Correct answer: A. line extension

  • A. line extension
  • B. brand extension
  • C. multibranding
  • D. new brands

Explanation

A line extension uses an existing brand for new varieties within the same product category, such as new flavours, sizes, or colours. A brand extension instead carries the brand into a different product category.

Written and checked by , editorLast updated
Report an error

The more specific you are, the faster it gets fixed. A source beats an opinion.

Prefer email? [email protected]

About Microeconomics

Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.

Practise Microeconomics

1,742 free Microeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.

Discussion

Stuck on an option, or know a faster way to get there? Ask or explain it here.

No comments yet. Be the first to explain this one.

Exams that ask Economics questions like this

Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.

More Microeconomics questions