Question

Marque, a high-end maker of designer watches, has started making inexpensive watches to take advantage of enormous growth rates in low-end market segments. Marque is most likely engaging in ________. Group of answer choices line filling upward stretching downward stretching two-way stretching franchising

Answer 1

Answer: Downward stretching.

Explanation:

Downward stretching is been applied by Marque as she produces low cost watches for consumers that can't afford the expensive ones. Downward stretching occurs when a popular brand released a new product at a lower price to the market, making use of the popularity of their previous products to drive the sales of the new product.