Coke is planning on marketing a new drink called Very Berry Coke which is a mixture of raspberry and blackberry flavors blended to perfection and added to the highly secret Coca-Cola formula. This new product is expected to reduce the sales of their existing product, Cherry Coke, by $10 million dollars per year. This is an example of a _______________.

Question

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This is an example of a substitutionary effect because the introduction of Very Berry Coke is expected to lead to a decrease in sales of Cherry Coke, as they both appeal to consumers who are looking for a fruity flavor in their soda.

Coke Is Planning on Marketing a New Drink Called Very