When sales for a new element of the line are not entirely incremental and come from an existing element of the line,it is known as cannibalization.

Question

Quizplus · Accepted Answer

Cannibalization occurs when sales of a new product or element of a product line come at the expense of sales from an existing product or element of the line. Therefore, the sales are not entirely incremental because they are partially cannibalizing existing sales.

When Sales for a New Element of the Line Are