A strategy that consists of the seller's development of two or more brands in the same product category is called

A strategy that consists of the seller's development of two or more brands in the same product category is called


A. brand repositioning decision

B. brand extension decision

C. multibrand decision

D. family brand decision

E. brand quality decision


Answer: (C) This question deals with the broad topic of brand decisions. A company may be able to use any one of these decisions for its products. The strategy described in this question relates to the multibrand decision, so (C) is the correct answer. Brand repositioning (A) may be needed if a competitor launched a brand that competes directly with an existing product. Brand extension decisions (B) relate to any effort to use a successful brand name to launch product modifications or new products. Family brands (D) are created by manufacturers who brand their products. Brand quality (E) supports the brand decision in the target market.


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