What approaches to distribution intensity are adopted by manufacturers at the different stages of the

product life cycle?

What will be an ideal response?

• Introduction: Distribution in this stage is selective (or perhaps exclusive, in the case of a luxury good or service)
and scattered as the firm searches for channels that will carry the new product.
• Growth: Distribution intensifies from selective to intensive. As the adoption rate of its product or service grows,
the organization should add new channels to increase its potential distribution reach. Companies must acquire
desirable channels at this stage or risk losing them to competitors, shutting the organization out of key markets and
hampering future growth.
• Maturity: Distribution is at its most intense at this stage. Organizations might consider expanding their channels
geographically to target new markets. In general, the high volumes and variety of alternative channels available
during maturity often justify long-channel (many channel partners) approaches.
• Decline: The number of channels will be severely curtailed, with only a very few number of outlets making the
product or service available for sale. Main channels will be used. Alternative channels will be dropped.