Pepsi has a strong brand equity. Over the years, Pepsi has introduced Vanilla Pepsi, Lemon Pepsi, Pepsi One, Pepsi Blue, and Pepsi Edge. These expansions of the Pepsi brand are termed:

(A) Category Extensions

(B) Product Extensions

(C) National Extensions

(D) Line Extensions

(E) Extension Brands

Answer: These expansions of the Pepsi brand are termed: " (D) Line Extensions".

Explanation: The extension of the line is the creation of a new product with two fundamental characteristics: First, the product belongs to the same category in which the brand was already entering. Second, the organization continues to use the same brand that it traditionally used in that category.