Question

Why brand extension is a critical decision

Answer 1

Answer:

The company relies on the brand loyalty of its current customers, which it hopes will make them more receptive to new offerings from the same brand. If successful, a brand extension can help a company reach new demographics, expand its customer base, increase sales, and boost overall profit margins.

Answer 2

Hlo mate!!!!!

The extension helps the core brand by reinforcing key associations, avoiding negative associations, and enhancing name recognition. The category cannot provide the resources needed to establish a new name, or a new name will not provide useful associations or a platform for future growth.

Hope this will help you mate...