Question

Please help me explain the concepts

Explain the concepts. [10'*3-30'] 1. Product Life Cycle 2. STP strategy 3. The total product

Answer 1

Answering the first question as per Chegg policy

Product life cycle: Every product entering the market goes through multiple stages from start to end of its tenure in the market This time span of the product is called its life cycle in the market. The stages of a product life cycle are:

1. Introduction stage: The product enters the market in this stage. It tries to build awareness about its utilities and the problem it solves. The market starts developing for it in this stage. The patents are established, low penetration is there, customers slowly show their confidence for the product and the promotions attract only the early adopters of the product in this stage.

2. Growth Stage: In this stage, the product is known in the market and now tries to be built as a brand by acquiring more customers and give them a superior experience and utility. The market share increases in this stage. The product quality is the same and additional features are added. The competition is less in this stage with increasing customer base. Increased channels and broad audience are features of this stage.

3. Maturity stage: The larger growth in sales now starts to fall in this stage. The competition starts rising and other firms start to find the interest in our domain of services. The strategy in this phase is to keep up with the market share and maximize the profit. The prices may be lowered and differentiation is used to train the customers.

4. Decline stage: The revenues in this stage decline. The market share gets lower and the product loses its stronghold in the market. The strategy in this stage can be to lower the costs and continue reaping the leftover profits, add new features and market more or discontinue it