Product Life Cycle Essay

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Product Life Cycle also known as PLC is the stages of development and sales a product goes through during its life span in the market. There are five stages in the Product life Cycle, development stage, introduction stage, growth stage, maturity stage and decline stage. Each stage measures the productivity of the product in the market. PRODUCT LIFE CYCLE PRODUCT LIFE CYCLE Development stage is the birth stage of the product; it is also the period from idea until the product is release into the market. This is the crucial point of the product life cycle as everything has to be done correctly before the product is launch. Costs are very high in this stage because developing a product is very expensive as man power, researches and marketing of the product has to be taken into consideration in order to ensure a smooth changeover into stage two. Introduction stage is the launching stage of the PLC, this is where the product becomes known and the public decides whether to actually buy into this product. If at this stage the product does not take off the other stages will be non-existent. The Growth stage which is the third stage, companies continues to grow their market shares and brand awareness. This is the promotional stage in aim for a wider audience. Because of the high expenses in the other two prior stages, the company should take advantage of this stage so that sales could outweigh the cost. Maturity stage is the most profitable stage where the products are very popular and are accepted on a macro level. Less marketing is required in this stage and companies are focusing on creating a lifelong relationship with their customers. Also in this stage competition is at its peak level and companies have to find ways of differentiating their products from that of the competitors. Price reduction may be one of the strategies implemented to retain their

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