Submitted by: Submitted by puyol86
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Words: 1135
Pages: 5
Category: Business and Industry
Date Submitted: 01/12/2016 04:42 PM
Harley Davidson Perfume – The sweet smell of failure
DISCUSSION QUESTIONS
1. Which aspects should be considered when making a decision on brand extension? How to
define values that could be transferred to new versions of product?
Companies adopt the brand extension strategy in order to facilitate the entry into new categories, as
build a strong brand is a lengthy and expensive process. So the new product hits the market with the
certification of a brand already recognized by the public. In this way while the brand transfers its
credibility into the new category which is acting also comes off revitalized by new product.
However, brand extensions or product lines are often not enough to replace the gains made by the
original products. But still, companies end up not just extending the brands of their products, but also
to themselves in an attempt to leverage its recognition in the category, or the economic exploitation
of related categories.
There are four steps that must be followed to make a successful brand extension, and they are,
Determine the value of the current brand, define the categories for the new product and how it will
relate to existing products, test the new positioning with consumers and develop and implementation
plan.
2. What is the greatest danger when applying brand extension, that is, when using the name of
the already established brand for new version of products or for various other products?
Certainly we have to take precautions and we must consider numerous points before the development
of the brand extension strategy. The brand cannot be extended without deep reflection of his
personality and his vision by the consumers. It is a delicate act, hence the precautions constitute a
sound methodology of studies on the potential of the extension. Obviously the greatest danger when
applying brand extension is when using the name of the brand for various other products that are
unrelated to its core business, placing the...