When Thinking About the Product Life Cycle,a Good Manager Knows

question 163

Multiple Choice

When thinking about the product life cycle,a good manager knows that ______.

• A) sales and profits for individual brands always follow the same life cycle pattern as industry sales and profits
• B) the only stage in which products are introduced is the market introduction stage
• C) all products will eventually earn a profit
• D) a product that is mature in one market may be in the growth stage in another international market
• E) None of these alternatives is correct.

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Definitions:

Volatile Sector

An industry or market segment known for high levels of price fluctuation, often due to changes in supply and demand, political instability, or other factors.

Gross Investment

Gross investment refers to the total amount of money spent on acquiring new capital assets or improving existing ones before accounting for depreciation.

Expected Rate Of Profit

The anticipated return on investment expressed as a percentage; it motivates entrepreneurs and investors to undertake business ventures.

Expected Profits

The forecasted profitability of a venture or investment, taking into account anticipated costs and revenues.