What is a line extension?

What is a line extension?

• A. Add a new product to an existing line.
• B. Extend a brand to a new product category.
• C. Create a new brand within the same market.
• D. Sell existing line internationally at lower prices.

Answer: (A)

Line extension means adding a new product to an existing line under the same brand. It broadens the current range—like introducing a new flavor, size, or variation that fits with items you already offer—without creating a separate brand. This leverages the brand’s recognition while giving customers more choices within the familiar lineup. For example, adding a new flavor to an established snack line is a line extension. The other ideas describe different strategies: extending a brand to a new product category is a brand extension, not a line extension; creating a new brand within the same market is launching a separate brand rather than expanding the current line; selling the existing line internationally at lower prices pertains to pricing or market access, not product-line expansion.

Line extension means adding a new product to an existing line under the same brand. It broadens the current range—like introducing a new flavor, size, or variation that fits with items you already offer—without creating a separate brand. This leverages the brand’s recognition while giving customers more choices within the familiar lineup. For example, adding a new flavor to an established snack line is a line extension.

The other ideas describe different strategies: extending a brand to a new product category is a brand extension, not a line extension; creating a new brand within the same market is launching a separate brand rather than expanding the current line; selling the existing line internationally at lower prices pertains to pricing or market access, not product-line expansion.