The concept of product life cycle is based on which of the following key assumptions? A. Profits remain…
According to Philip Kotler, the Product Life Cycle (PLC) concept rests on four key assumptions: products have a limited life (E), product sales pass through distinct stages,…
Choose your answer
The concept of product life cycle is based on which of the following key assumptions?
A. Profits remain stable at different stages of product life cycle
B. Products have an unlimited life
C. Product sales pass through distinct stages, each posing different challenges, opportunities and problems to the seller
D. Products require different marketing, financial, manufacturing, purchasing and human resource strategies in each of the life cycle stages
E. Products have a limited life
Answer and explanation
Correct answer D
According to Philip Kotler, the Product Life Cycle (PLC) concept rests on four key assumptions: products have a limited life (E), product sales pass through distinct stages, each posing different challenges, opportunities, and problems to the seller (C), profits rise and fall at different stages of the PLC, and products require different marketing, financial, manufacturing, purchasing, and HR strategies in each stage (D).
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UGC NET Commerce