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Product Life Cycle of the MP3 Player
Anytime a company develops a new product or service, it needs to be aware that the product and/or service will not last forever. This is important to recognize in the early stages of development so that a firm can maximize their profits during the product's life cycle. Albeit, no company can accurately predict the duration of a product or service, any product/service progresses through four distinct phases. Each phase is associated with different costs, profits and risks. Collectively, these phases are known as the Product Life Cycle (PLC) and are classified into: Introduction, Growth, Maturation, and Decline.
The introduction phase is the first phase for all new businesses, products, and services. Any new idea, new business or service cannot escape this phase. Sales are generally extremely low and slow to takeoff. …
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