Marketers with luxury brands use brand extension cautiously in order to avoid

A) brand licensing fees.
B) exclusive co-branding arrangements.
C) diluting the core brand.
D) private-label branding disputes.
E) product line extension limitations.

Marketers with luxury brands use brand extension cautiously in order to avoid diluting the core brand. Luxury brands often have a well-established brand image and reputation, and extending the brand too far can risk diluting that image and reducing the brand's perceived exclusivity and value. Therefore, brand extension should be done carefully and with consideration of the brand's core essence and values.