p.4
Decline Stage Characteristics
What are the major objectives during the decline stage of the Product Life Cycle?
To reduce unnecessary expenditure and survive longer, and to earn as much profits as possible from the product.
p.4
Marketing Mix Strategies for Maturity Stage
What distribution strategy is recommended during the maturity stage?
Increase intensive distribution to ensure sufficient market coverage.
p.2
Maturity Stage Characteristics
What characterizes the Maturity stage of the Product Life Cycle?
Sales growth begins to slow down, leading to intensified competition.
p.2
Introduction Stage Characteristics
What is a key financial aspect of the Introduction stage?
It does not generate much profit due to heavy promotional expenses incurred at launch.
p.3
Marketing Mix Strategies for Introduction Stage
What is a key focus of promotion in the introduction stage?
Public relations, advertising, and sales promotion to encourage consumers to buy.
p.3
Marketing Mix Strategies for Growth Stage
What should be the focus of promotion during the growth stage?
Increasing advertising to motivate more customers to try the product.
p.4
Maturity Stage Characteristics
How can a company defend its market share during the maturity stage?
By differentiating its products and maximizing short-term profits before decline begins.
p.3
Marketing Mix Strategies for Introduction Stage
What should the product focus on during the introduction stage?
Producing the 'most viable product (MVP)', which is the most basic version of the product.
p.3
Marketing Mix Strategies for Growth Stage
What is the major objective during the growth stage of the Product Life Cycle?
To maximize market share and deliver increased customer satisfaction before the entry of more competitors.
p.2
Introduction Stage Characteristics
Why is there a slow growth rate in the Introduction stage?
It takes time for consumers to accept the new product.
p.4
Marketing Mix Strategies for Decline Stage
What is the role of customer relationship management (CRM) in the decline stage?
To focus on retaining loyal customers and reduce promotional expenses.
p.3
Marketing Mix Strategies for Growth Stage
How may pricing be adjusted during the growth stage?
By setting lower prices to penetrate the market as both sales and profits increase.
p.4
Marketing Mix Strategies for Maturity Stage
What is the focus of promotion strategies in the maturity stage?
To encourage customers from competitors to switch brands through increased branding efforts.
p.2
Growth Stage Characteristics
Who begins buying the product during the Growth stage?
Early adopters start buying as consumer awareness has been built.
p.4
Marketing Mix Strategies for Maturity Stage
What is 'line stretching' in product strategy?
Diversifying the brand and models to other market segments.
p.3
Marketing Mix Strategies for Growth Stage
What should the product focus on during the growth stage?
Increasing product attributes and support services, such as after-sales services.
p.2
Introduction Stage Characteristics
What characterizes the Introduction stage of the Product Life Cycle?
The product is newly introduced to the market, with slow growth and primarily innovators buying it.
p.3
Marketing Mix Strategies for Introduction Stage
How should pricing be approached in the introduction stage?
By taking huge promotional costs into account when setting the price.
p.2
Decline Stage Characteristics
What defines the Decline stage of the Product Life Cycle?
Both sales and profits decrease due to increased competition and changes in consumer preferences.
p.4
Decline Stage Characteristics
What should a company do with weak or unpopular models during the decline stage?
Phase out weak or unpopular models and focus only on the popular ones.
p.3
Marketing Mix Strategies for Introduction Stage
What distribution strategy is often applied during the introduction stage?
Selective distribution or direct distribution.
p.2
Decline Stage Characteristics
Who remains as buyers during the Decline stage?
Only laggards will buy as the market becomes saturated.
p.4
Marketing Mix Strategies for Decline Stage
What pricing strategy may be applied if competitors are leaving the market?
Increase prices to capture higher profits.
p.2
Growth Stage Characteristics
What happens during the Growth stage of the Product Life Cycle?
Sales start to increase quickly, generating profit as consumer awareness builds.
p.2
Maturity Stage Characteristics
What happens to profits during the Maturity stage?
Profits decrease due to increased competition and higher promotional spending.
p.3
Marketing Mix Strategies for Introduction Stage
What is the major objective during the introduction stage of the Product Life Cycle?
To build brand/product awareness and encourage consumers to try the product.
p.2
Growth Stage Characteristics
What economic benefit occurs during the Growth stage?
Average cost per consumer starts to decrease due to economies of scale.
p.3
Marketing Mix Strategies for Growth Stage
What distribution strategy is often applied during the growth stage?
Intensive distribution to maximize reach to customers.
