Asked by Bruno Freitas on Jul 04, 2024

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​Which of the following is FALSE?

A) ​To reduce cannibalization among products,reposition a product so that it does not directly compete with the other
B) After acquiring a substitute product,raise prices on both the products
C) After acquiring a complementary product,raise prices on both the products
D) ​All of the above

Cannibalization

A decrease in the sales figures, earnings, or the market dominance of an existing product due to the launch of a new product by the same manufacturer.

  • Comprehend the strategic considerations in product positioning to reduce cannibalization among a company's own products.
  • Understand the strategic decisions behind acquisitions, particularly in contexts involving substitutes and complementary goods.
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ZK
Zybrea KnightJul 08, 2024
Final Answer :
C
Explanation :
Raising prices on both products after acquiring a complementary product is generally not a recommended strategy. Instead, companies might bundle the products together at a special price to encourage more sales, leveraging the complementary nature of the products to increase value for customers.