4 Famous Stages of Product Lifecycle

The product lifecycle is a model that describes the stages a product goes through from its initial introduction to the market to its eventual withdrawal. The product lifecycle model is divided into four main stages: introduction, growth, maturity, and decline.

  • Introduction: During this stage, the product is first introduced to the market. This stage is characterized by high development costs and low sales.

  • Growth: As the product gains acceptance in the market, sales begin to increase rapidly. This is the stage where the company will invest in advertising and distribution to build brand awareness and increase market share.

  • Maturity: As the product reaches maturity, sales growth begins to slow down. This is the stage where the company will focus on cost reduction and maintaining market share.

  • Decline: As the product reaches the end of its lifecycle, sales begin to decline. This is the stage where the company will decide whether to continue producing the product, or to phase it out and replace it with a new product.

The product lifecycle is a useful model for understanding the different stages that a product goes through, and the different strategies that a company should employ at each stage. It helps managers to predict the future sales and profit potential of a product, and to make informed decisions about product development, marketing, and distribution.

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