Marketers must judge each potential brand extension by how effectively the brand leverages existing brand equity from the parent brand, as well as how effectively, in turn, it contributes to the parent brand's equity.

Question

Quizplus · Accepted Answer

This statement is true. Marketers need to carefully assess how a brand extension can capitalize on the existing equity of the parent brand while also adding value to it. This ensures that the brand extension is not only successful on its own but also enhances the overall strength of the parent brand.

Marketers Must Judge Each Potential Brand Extension by How Effectively