The document discusses the product life cycle, which refers to the various phases a product goes through from development to withdrawal from the market. It identifies five main phases: 1) product development, 2) introduction, 3) growth, 4) maturity, and 5) decline. Each phase is characterized by different levels of sales, costs, and profits. The product life cycle model shows how a product evolves over time as it is commercialized, gains widespread adoption, and eventually is replaced in the market.

1. Product Life Cycle
Ashwin
Joshi
M.Tech.
CAD / CAM

2. Two terms….
1.Product.
2.Life cycle.
What is Product ?

3. 1.Product
 It is object .
 Any thing which you see around .
eg. Mobile,laptop,shoes,sunglasses, …..
Next….
Life Cycle

4. 2.Life Cycle.
Nokia 3310

5. Bajaj Scooter

6. The life cycle refers to the period
from the product’s first launch into
the market until its final
withdrawal.
Different products have different types
of life cycles.
It is split up in phases.

7. Phases
The product’s life cycle - period usually consists
of five major phases :
1. Product development.
2. Introduction.
3. Growth.
4. Maturity.
5. Decline.

8. Product Life Cycle Graph

9. 1.Product development.
Product development phase
begins when a company finds
and develops a new product
idea.
This involves translating
various pieces of information
and incorporating them into a
new product.

10. 2.Introduction
The introduction phase of a
product includes the product
launch.
A company must be prepared to
spent a lot of money and get
only a small proportion of that
back.
Sales Low sales
Costs High cost per customer
Profits Negative

11. 3.Growth
The growth phase offers the
satisfaction of seeing the product
take-off in the marketplace.
This is the appropriate timing to
focus on increasing the market
share.
Sales Rapidly rising sales
Costs Average cost per customer
Profits Rising profits

12. 4.Maturity
All competitors are represented
in terms of an alternative
product, the maturity phase
arrives.
Pricing and discount policies
are often changed in relation to
the competition policies.
This is the time to extend the
product’s life.
Sales Peak sales
Costs Low cost per customer
Profits High profits

13. 5.Decline
Issues such as maintenance,
spare part availability are some
issues that increase the
complexity of the decision
process to withdraw a product
from the market.
This is the time to start
withdrawing variations of the
product from the market that are
weak in their market position
Sales Declining sales
Costs Low cost per customer
Profits Declining profits

14.  Product Life Cycle for New Product

15. THE END