If Grips decided to launch a brand extension, which of the following products would be the best candidate for a new product under the Grips name?
A) athletic clothing
B) nutritional supplements
C) skateboards
D) vacuum cleaners
E) breakfast cereal
Answer: C
Explanation: C) Brand extension makes sense if the good qualities of a brand will transfer over to a new market. Grips is known for tires, tubes, and brake pads, and so producing skateboards, Choice C, is not a huge stretch. It is easy to believe that a company that is good at one could be good at another. On the other hand, Grips' expertise would be harder to convert to clothing (Choice A), food (Choices B and E), or cleaning products (Choice D).
You might also like to view...
______ is also known as the compromising style.
a. Collaborating conflict style b. Negotiating conflict style c. Forcing conflict style d. Accommodating conflict style
Why was the "labor problem" considered a problem?
What will be an ideal response?
Suppose that you work for a lawyer who is just starting his or her practice. What would you do to ensure that the attorney has a presence on the Internet?
What will be an ideal response?
From a micro view, marketing
A. directs an economy's flow of goods and services from producers to consumers. B. emphasizes how the whole marketing system works. C. is a set of activities performed by an individual organization to satisfy its customers. D. applies to large corporations but not to a new venture started by one person. E. is an important social process.