Explain cannibalization. How does a line extension strategy increase the risk of cannibalization?
What will be an ideal response?
Organizations often decide to extend their product lines by adding more brands or models. Any time a new or similar product is introduced, there is a risk of cannibalization of existing products. Cannibalization is the loss of sales of an existing product to a new item in a product line or product family that the company has introduced. Instead of reaching new customers, the new product may just cause current customers to switch brands. Marketers must consider whether a new brand or model will significantly detract from their existing brands.
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Linda wants to purchase a homeowners policy. She has some valuable personal property to which internal policy limits apply
Her agent said that she could obtain coverage under her homeowners policy by attaching a list of this valuable property with specific amounts of insurance. Such a listing is called a(n) A) binder. B) schedule. C) application. D) warranty.
How much must you invest today at 8% interest in order to see your investment grow to $15,000 in 10 years?
A) $6,330 B) $6,945 C) $7,620 D) $7,500
Categorical data
a. indicate either how much or how many b. cannot be numeric c. are labels used to identify attributes of elements d. must be nonnumeric
Define each of the following statistical terms:
a. Descriptive statistics b. Statistical inference c. Confidence level d. Significance level e. Population f. Sample