Every comodity has a life cycle that it has to go through untill it becomes good for use. In case a commodity does not go through all the steps, it cannot last for a long duration of time. It’s import

Every comodity has a life cycle that it has to go through untill it becomes good for use. In case a commodity does not go through all the steps, it cannot last for a long duration of time. It’s import
Running head: PRODUCT LIFE CYCLE 0 Product Life Cycle Student name Institution affiliation Date of submission Product life cycle Every product or service passes through four stages in its life cycle, which are introduction, growth, maturity, and decline. Depending on the stage it is at, the product or service will have unique marketing characteristics. During the introduction stage, the product or service is new, and the market hardly knows about it. Here, marketing is usually intense to create awareness regarding the product/ service. Thus high costs of marketing and distribution are experienced as the company seeks to create demand through promotions and campaigns. Customers are encouraged to test the product in the hope that they will like it. There is little or no competition at this stage. The company expects little or no profits since sales volumes are not high. During the growth period, the market is beginning to accept the product. Here, the demand for the product has started to increase. Therefore, sales and revenue have begun to rise. Here, the costs of marketing reduce, but initial distribution channels are expanded as the market continues to demand the product. Also, promotion and marketing levels are increased so that more potential customers can know about the product or service. The maturity stage is characterized by peak levels of sales and revenue. Here, the levels of promotions and advertising are reduced as the company has achieved a significant level of market share. However, sales growth begin to slow down due to increased competition. The companies start to reinforce the product to continue making sales, such as improving the product’s features, reducing prices, intensifying distribution, and seeking a new target market. During the final stage, the decline stage, the product, and the service experience intense competition. The product and services face a challenge in making profits, and sales growth are negative. Marketing and distribution levels are also low, and the product nears its death. The company may opt to revive the product/service through product development, rebranding, or product differentiation. It may also choose to withdraw the product out of the market altogether. References Lumen. (n.d). Product life cycles. Retrieved from https://courses.lumenlearning.com/boundless-marketing/chapter/product-life-cycles/#:~:text=Characteristics%20of%20the%20introduction%20stage,be%20little%20to%20no%20competition Gitman, L. J., McDaniel, C., Shah, A. J., Reece, M., Koffel, L., Talsma, B., Hyatt, J. C., … OpenStax College,. (2018). Introduction to business.