When a new product is launched, it can lead to a decrease in sales of an existing product from the same brand, a phenomenon known as product cannibalization. This means that sales of the new product come at the expense of sales of the existing product, which may be more or less similar and a competitor. It is therefore essential to consider this loss of revenue when evaluating the performance of the new product. Product cannibalization can also occur during promotional campaigns, where increased sales of a promoted product may come at the expense of sales of other similar products from the same brand. For example, a promotion on Basmati rice could impact sales of regular rice. It is important to note that cannibalization can have a significant impact on a company’s strategy and requires careful analysis to minimize its negative effects.