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This article extends the scope of investigations into the potential risks of brand and line extension strategies. Here, the authors examine whether extensions can dilute beliefs associated with a strategically important and highly visible product—the flagship product. The results of three experimental investigations indicate that beliefs about flagship products are less vulnerable to dilution than beliefs about the parent brand name in general. The findings suggest that assessments of the impact of brand leveraging strategies should include analysis of the effects on individual products as well as on the family brand name.
John et al. (Thu,) studied this question.