Product Life Cycle A Growth Stage - Iowa State （产品生命周期的成长阶段,爱荷华州立）.pdf

File C5-211 August 2007 /agdm Product Life Cycle product has a life of its own and goes Growth Stage through cycles. Although different products In this stage, sales grow rapidly. Buyers have be- Ahave different types of life cycles, the tradi- come acquainted with the product and are willing to tional product life cycle for most products is shown buy it. So, new buyers enter the market and previ- in Figure 1. ous buyers come back as repeat buyers. Production may need to be ramped up quickly and may require Figure 1. Product life cycle a large infusion of capital and expertise into the busi- ness. Cost reductions occur as the business moves down the experience curve and economies of size are realized. Profit margins are often large. Com- petitors may enter the market but little rivalry exists because the market is growing rapidly. Promotion and pricing strategies are revised to take advantage of the growing industry. Mature Stage In this stage the market becomes saturated. Produc-