True/False

12.1

Four questions were suggested in the book as being a good source of growth options. One was asking whether brand extensions are possible. Another was whether new distribution channels are available.

Answer:

12.2

In leveraging an existing brand to move into a new market, the new brand may seek distance and autonomy from the existing brand. However with that distance, the risk of the venture increases.

Answer:

12.3

Three steps to determine which assets and competencies should be leveraged were suggested. The first was to inventory assets and competencies, the second was to find an area where the assets and competencies can be applied to generate advantage and the third was to analyze the potential synergy.

Answer:

12.4

Sub brands and endorsed brands are created when the parent company wants to prevent existing brands from damage and when an entirely new brand is not feasible based on lack of resources.

Answer:

12.5

Philip Morris was successful with 7-Up because of its distribution clout.

Answer:

12.6

Entering into new markets or launching new products are met with the challenges of resistance to new products, lack firm's assets and competencies in the new product's market and organizational access to resources necessary for launches.

Answer:

12.7

When there is a real potential synergy, it will happen-otherwise it will simply be a hope.

Answer: