Differentiate between line extensions and brand extensions. Provide an example of each
What will be an ideal response?
Line extensions occur when a company extends existing brand names to new forms, colors, sizes, ingredients, or flavors of an existing product category. For example, over the years, KFC has extended its "finger lickin' good" chicken lineup well beyond original recipe, bone-in Kentucky fried chicken. It now offers grilled chicken, boneless fried chicken, chicken tenders, hot wings, chicken bites, and, most recently, KFC Go Cups — chicken and potato wedges in a handy car-cup holder that lets customers snack on the go. A brand extension extends a current brand name to new or modified products in a new category. For example, Nest — the maker of stylish, connected, learning thermostats that can be controlled remotely from a phone — extended its line with an equally smart and stylish Nest Protect home smoke and carbon monoxide alarm. It's now extending the Nest line to include "Works with Nest," applications developed with a variety of partners that let its smart devices interact with and control everything from video monitoring devices, smart door locks, and home lighting systems to home appliances and fitness tracking bands.
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Indicate whether the statement is true or false
A one-year CD has a ________ return and ________ liquidity than a checking account
A) lower; lower B) higher; higher C) higher; lower D) lower; higher