Meaning of Product Stages of Product Product life cycle Product life cycle features Introduction stage Growth stage Maturity stage Saturation stage Decline stage MCQ

1. Harshitha S.M
1st M.COM

2.  MEANING
 STAGES
 PTODUCT LIFE CYCLE
 FEATURES
 MCQ
 REFRENCE

3. Products ,like human beings,pass
throught a series of stages from
their intial appearance to death,this
progression is know as product life
cycle .

4. According to philipkotler “The product
life cycle is an attempt to recognize
distinct stages in the sales history of
the product”.

5. Introduction
stage
Growth
stage
Maturity
stage
Saturation
stage
Decline
stage
STAAGES

7. “a product that opens up an
entirley new market ,replace
an existing product,or
significantly broadnes the
market for an existing product’.
Characteristics of this stage
a) Sales are low
b) High distribution and
promotion expenditure
c) Few direct competitors
d) Profits are low or negitive

8. This is the second stage in
the product life cycle.New
customers start buying the
product.
a. Sales increase rapidly
b. New market segments
are opened
c. Competition enters the
market
d. Company starts earning
more profits.

9. At this stage competition is
intensified.Sales continue
to increase for a while,
but at a decreasing rate.
 Slow down in sales
growth
 More competition pushes
price cuts
 Profit margin decreases
 Rise in marketing
expenditure

10.  This is the fourth stage
of the product life
cycle.the demand for
products is almost
stable.
 It can introduce entirley
new products .
 It can introduce new
models of products.
 It can search new users
for the product .

11.  Once the saturation
point is reached, the
product inevitably
enters this stage.
 Sharp decline in sales
 Sharp decline in
netprofits or reach no
profits stage.
 Reduce competition
due to low volumes
and margins .

13.  1. in which of the following stages of product
life cycle a company reduce sales promotion to
take advantage of heavy consumer demand?
1. Introduction
2. Growth
3. Meturity
4. Decline
ans: Growth

14. 2. In which stage of PLC. Product has achived
acceptance by most of the potential buyers
which stabilizes the profit?
1. Growth
2. Maturity
3. Decline
4. Introduction
ANS: Maturity

15. 3. Which stage of PLC. Is marked by
slow growth and minimum profits?
1. Growth
2. Maturity
3. Decline
4. Introduction
ans: Introduction