Explain the differences between the maturity stage and growth stage in the product life cycle

What will be an ideal response?

ANSWER: A period during which sales increase at a decreasing rate signals the beginning of the maturity stage of a product life cycle. Normally, this is the longest period of the product life cycle. As prices and profits continue to fall, marginal competitors start dropping out of the market. Dealer margins also shrink, resulting in less shelf space for mature items, lower dealer inventories, and a general reluctance to promote the product.If a product category survives the introductory stage, it then advances to the growth stage of the life cycle. In this stage, sales typically grow at an increasing rate, many competitors enter the market, and large companies may start to acquire small pioneering firms. Profits rise rapidly in the growth stage, reach their peak, and begin declining as competition intensifies. Emphasis switches from primary demand promotion to aggressive brand advertising and communication of the differences between brands.