Why do Brand Extension Strategies Fail? - Literature review Example

Only on StudentShare

Extract of sample
Why do Brand Extension Strategies Fail?

The strategy of brand extension is being used by the organisations in order to cope up with different challenging situations and overcome the competitive pressure in the industry. According to the Han (1998), the brand extension of strategy have been beneficial for the companies in the process of reaping additional benefits from the already established brand. The main reason or rationale behind the introduction of new product under the name of well known and established brand is to make sure that the customers and market is familiar with the brand and the new product category can capture market on the basis of the positive and main characteristics of the parent brand (Buil, Chernatony, and Hem, 2009). Different options available to the brand managers in the process of brand extension are: 1. Horizontal Extension: the horizontal extension is further divided into line extension and category extension. In the line extension a whole new product, within the same category as that of the parent brand, is introduced in order to target and capture a new and different segment of the market. On the other hand, in the category extension the same brand is extended into a whole new product category. ...
Download paper


Different strategies and techniques are being used by the organisations in order to manage the brands and increase the brand value and worth (Mzungu, Merrilees, and Miller, 2010)…
Author : teresa25

Related Essays

International strategies for brand extensions: the road from Russia to the UK
50 pages (12550 words) Dissertation
Brand identity and communication strategies: how IKEA become a popular brand in China
60 pages (15060 words) Dissertation
Product or brand success
14 pages (3514 words) Essay
Principles of Brand Extension and its Rationales
3 pages (753 words) Essay
Brand Extension
3 pages (753 words) Essay
Christian Dior's existing and recommended luxury brand strategies.
15 pages (3765 words) Assignment
Got a tricky question? Receive an answer from students like you! Try us!