These moves are called brand extensions

[rmsh47]

Large companies often extend their brands to develop new products in industries where they don't have any market share. These moves are called brand extensions, and they allow companies to leverage their brand recognition and equity to create additional revenue streams. Extend their brands to develop new products in industries where they don't have any market share. , and they allow companies to leverage their brand recognition and equity to create additional revenue streams.

Historically, the most successful brand extensions have linkedin database been those that are closely tied to a company’s flagship or core brand, such as Gerber’s baby apparel and Dole’s frozen fruit bars. So by entering tangential markets that retain your brand’s unique associations and perceived quality, you can develop new products whose benefits consumers intuitively understand even if they never see them on the shelf.

On the other hand, companies can also exploit their brand to the detriment of their brand. If they develop products in markets that are not closely associated with their flagship or core brand, audiences may attach unfavorable associations to the brand, weakening its existing associations and damaging the perceived quality of its established products.