Kellogg's has several cereals targeted at different types of users. This is an example of multiple products aimed at multiple markets. Manufacturing these different cereals is clearly more expensive than producing only one but seems worthwhile if it adds to the manufacturer's profits and
a. meets standards for new product testing.
b. uses the same promotion and packaging for all segments.
c. cannibalizes the earlier products.
d. stabilizes competition.
e. better serves customers' needs.
Answer: e. better serves customers' needs.