Product Life Cycle Abstract

ProductLife Cycle

Abstract

Productlife cycle is a marketing tool that entrepreneurs use to predict themarketability of a product. The products pass various stages such asdevelopment, introduction, growth, marketing and maturity.Unfortunately, the techniques are not very reliable since someproducts do not pass through these phases. Similarly, salesfluctuation does not signal that a product has saturated the markethence, an investor should cash his or her capital and direct theresources to another product that seems to be at the sales peak(Corallo, Elena, Lazoi, Lettera, Marra, &amp Verardi, 2013).

Productlife is the different stages a product undergoes in a market. Thephases are crucial as they help managers to make informed marketingdecisions. Business managers use the tools to create strategies thatin turn help them to take advantage of a market when it can give themmaximum returns (Horne, Grant, &amp Verghese, 2009).

Unfortunately,the product life cycle management has some drawbacks that limit itsefficiency. One of the weaknesses is the difficulty in establishingtransitions whenever they occur (Horne et al., 2009). Managersdetermine the sales level through calculation of the average sales,and the average quantities may often lag behind. As such, themanagers may discover a change in sales a little after the actualchange already occurred (Corallo et al. 2013).

Secondly,some sales fluctuation does not mark the beginning of a decliningstage. As such, entrepreneurs should refrain from retiring a productimmediately they realize sales reduction or diverting the resourcesinstantly to other trendy products (Bhasin, 2012).

Thirdly,some products do not follow the specified stages. In some cases, somecommodities may begin falling immediately after introduction becauseof lack of value to the clients, misconceived aspects as well as poormarketing techniques (Horne, Grant, &amp Verghese, 2009). On thesame note, some products remain at the peak of sales for forever. Forexample, the Coca-Cola and Pepsi soft drinks have maintained highsales for over a hundred years, and they do not seem to decreasesales soon (Bhasin, 2012).

Finally,the Product life cycle is inadequate during evaluation of servicesand brands. Although a brand may have relatively similar products,the clients may prefer some goods to others. For instance, Apple iMachad a huge market success while Apple Lisa was a market failure. Thedecreased sales of a given product do decrease the averages salesvolume of a given commodity. Nevertheless, a decrease in sales shouldnot be interpreted to mean that the products of a given brand lackthe standard quality (Bhasin, 2012).

References

Horne,R., Grant, T., &amp Verghese, K. (2009). Lifecycle assessment: Principles, practice, and prospects.Collingwood, Vic: CSIRO Pub.

Bhasin,H. (2012). Benefits and limitations of product life cycle. Marketing91. Web. Retrieved on Oct. 20 2015 fromhttp://www.marketing91.com/benefits-and-limitations-of-product-life-cycle/

Corallo,A., Elena, M., Lazoi, M., Lettera, S., Marra, M., &amp Verardi, S.(2013). Defining product lifecycle management: A journey acrossfeatures, definitions, and concepts. ISRN Industrial Engineering,1-10. DOI: http://dx.doi.org/10.1155/2013/170812