PHARMASIM Wterpretive simulations Cannibalization Allstar is considering a line extension of the Allround brand to counter market erosion from increased competition. The choices have been narrowed to a children's liquid version of Allround, a 12-hour cold capsule, and a cough formula. Each formula allows you to target specific types of users. One concern is the problem of cannibalism. Which of the three line extension choices do you think will lead to the least amount of cannibalization of the Allround brand? Note that your response does not launch the product, and you will have the opportunity to make a different choice when the line extension decision does become available. 1. 12-Hour Multi Capsule: Having to take Allround every four hours is a problem for some cold sufferers, and Extra, with its extended relief formula, may be appealing to those customers. A 12-hour capsule as a line extension might help in maintaining sales among these buyers, and perhaps gain new sales. 2. Children's Liquid Cold Medicine: While some parents may be using reduced dosages of Allround to treat cold and cough symptoms in their children, the recent introduction of Coldcure could change that. A children's formula of Allround could be a good choice to counter the entry of Coldcure. 3. Cough Formula: As a multi-formula liquid, Allround is used by many buyers for coughs as well as colds. However, Coughcure and End may have an advantage for those who are suffering only from cough symptoms. Choosing a cough formula as a line extension might help with those customers