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Frito-Lay's could take advantage of being the leader of chip production by including with the purchase of Frito-Lay's chips promotions or coupons for the Frito-Lay's dips. On the other hand, the competition over the "chip dip" is growing which minimize the chance for Frito-Lay's to expand their market shares...

In addition, introducing new product might cause produce cannibalization.

The second solution is to introduce a new line of vegetable dip. Vegetable dip has noticeably less competition and it was linked to 33% of the total dip sales. Research shows that sour cream-based dips are more popular than cheese dips for vegetable dips and the sour cream-based dips never been introduce as a vegetable dip before...

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