During the development of a product the firm will undertake generation of ideas, product development, test marketing and launch.
1 of 8
Stage two - Introduction
Product is new to the market. Usually sales are slow at first as shops are often not keen to stock and unknown product.
2 of 8
Stage three - Growth
The product gets more popular and well known as advertising starts to take effective and the consumers start to see the benefits of the new product or technology.
3 of 8
Stage four - Maturity
The firm will hope to make a profit and sales stabilise, sales begin to level off. The market becomes saturated with competitors- often these may be better than the original product.
4 of 8
Stage five - Decline
Eventually the sales of a product will fall as popularity declines. At this stage companies must make a decision to either live with lower profits or launch and new one.
5 of 8
Extending the life cycle
Some products have had very long life cycles. For example Corn Flakes have been selling for almost a century.
6 of 8
Technology push
Technology push is when research and development in new technology, drives the development of new products.
7 of 8
Market pull
The term ‘Market Pull’, refers to the need/requirement for a new product or a solution to a problem, which comes from the market place.
8 of 8
Other cards in this set
Card 2
Front
Product is new to the market. Usually sales are slow at first as shops are often not keen to stock and unknown product.
Back
Stage two - Introduction
Card 3
Front
The product gets more popular and well known as advertising starts to take effective and the consumers start to see the benefits of the new product or technology.
Back
Card 4
Front
The firm will hope to make a profit and sales stabilise, sales begin to level off. The market becomes saturated with competitors- often these may be better than the original product.
Back
Card 5
Front
Eventually the sales of a product will fall as popularity declines. At this stage companies must make a decision to either live with lower profits or launch and new one.
Comments
No comments have yet been made