When Ann Taylor, a well-known retailer of sophisticated women's clothing, started losing sales to its own LOFT stores that feature moderately priced casual clothes, Ann Taylor was dealing with the marketing phenomenon known as
A) amortization.
B) guerrilla marketing.
C) shrinkage.
D) marketing Darwinism.
E) cannibalization.

Question

Quizplus · Accepted Answer

Cannibalization occurs when a company's new product eats into the sales of one of its existing products, as seen with Ann Taylor's sales being affected by its own LOFT stores.

When Ann Taylor, a Well-Known Retailer of Sophisticated Women's Clothing