Question: 4. Does the brand complement other global brands in the portfolio or compete directly against them? Because of resource demands and the threat of cannibalization,

4. Does the brand complement other global brands in the portfolio or compete directly against them? Because of resource demands and the threat of cannibalization, it is seldom justifiable to keep two directly competing global brand names, which is one reason Sony decided to drop the Columbia record label after acquiring CBS’s music business. On the other hand, Sony supports Aiwa—a subsidiary, a global brand with electronic goods at a lower price than the Sony parent—on the premise that cannibalization is minimal. And of course the brand may simply help extend the product line, as in the case of Campbell Soup’s acquisition and globalization of Godiva, the Belgian chocolatier.

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