As a Product Moves into the Market Maturity Stage of Its

question 129

Multiple Choice

As a product moves into the market maturity stage of its life cycle, the marketing manager should:

• A) try to build primary demand.
• B) move toward exclusive distribution.
• C) expect the market to move toward pure competition.
• D) emphasize promotion that informs rather than persuades.
• E) None of these alternatives is correct.

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Definitions:

Liquidity

The simplicity of turning an asset into cash without impacting its market value.

Money Market

A segment of the financial market where short-term financial instruments with high liquidity and short maturities are traded.

Float Motive

The rationale for holding money in transaction accounts to satisfy daily operational cash flow needs.

Liquidity

The ease with which an asset or security can be converted into cash without affecting its market price.