Experience this problem, no matter who will be a headache, especially for chloe handbags the extension of such products will earn more profits, but it can also bring the risk of essential, in particular, an extension of the transition will be greatly hurt such a premium brand capacity may be reduced to 23 categories of brands, this point is fatal. But still, without exception, these brands to choose a brand extension, as part of the field of brand clothing and then engaged to the bag, perfume, shoes, sunglasses, watches and other products and even categories of horizontal extension, which is considered as such wish to take advantage of a strong brand the brand value to sell more products, and focus on products in a single encounter this type chloe handbags of product if the brand will inevitably lead to fierce competition and reduced profits, if there is a longer product line will withstand a certain degree of risk. Another point is these companies are usually a number of listed companies, in order to support the stock must have a higher rate of return, shareholders have put pressure on foreign companies as a result of the performance is very important to support stock prices and stock market returns, forcing the company had to have products to obtain more profits, usually the products of such an extension of the profit will reach 30-50, but also lowered the price of entry-level products, as the fashion is very expensive million thousand dollars or so but there will always be the wallet Some people buy this car has also been adopted by some high-level, such as the BMW car into 3,5,7, etc. to target different customers with relatively low prices to attract consumers to foster a sense of brand loyalty, wait until their strength, they will buy higher-grade products.
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