​

​
Developing a brand in one category can give it a major advantage if it decides to extend into other areas. Brands with associations that are relevant outside of their original category, such as Porsche's reputation for engineering excellence and beautiful design, are well placed to extend and enjoy 'halo effects’ by which marketing in one area helps sales in all areas.

Whether a brand extension is a good idea depends on the answers to the three questions shown here.

You can follow a discussion of this topic on this LinkedIn thread. 

What to learn more? Try asking Virtual Dan White.