Every company’s goal is attain profitable growth. The growth can be attained through expanding product categories, market, geography, etc. The growth can be attained through product category expansion, market expansion, geographic expansion, etc. The expansion strategy should align with brand’s value proposition and it shouldn’t alienate core customer base. Some companies launch new brand while others expand the existing brand, but the success is never guaranteed. For example Kate Spade, unsuccessfully tried to expand its target demographics by creating a new brand Saturday by Kate Spade. Vera Bradley, relatively a small women cotton handbags and accessory provider decided to expand its customer base (target market) by introducing more fabrics
