Answer:
Profit peak before sales reach their highest level
Explanation:
product life cycle is the transition of a product through the four stages of Introductory , Growth , maturity and decline stages.
The product manifest different attributes on attaining each of the listed stages.
Peculiar to the decline stage is continuous fall in sales volume which leads to drop in profit or even losses as the company struggles to work things out.
Before the decline stage is the growth stage , This is the level where sales increase rapidly and the profit attain its peak before it begins to decline due to fall in sales that is experienced at the decline stage
Answer:
Explanation:
a )
Ratio of GDP on the basis of exchange rate :
GDP of india / GDP of united states
= 78.9 x 10¹⁸ x 1 / 14.5 x 10¹⁸ x 45.7
= 0.12
b )
Ratio of GDP on the basis of commonprices :
GDP of india / GDP of united states
= (78.9 x 10¹⁸ / 14.5 x 10¹⁸ ) x ratio of price level
= (78.9 / 14.5) x .368
= 2
c ) These two numbers are different because the exchange rate of currency
is controlled by price level in two countries but exchange rate is also influenced by many other factors including price level . So ratio of price level and exchange rate are different. Exchange rate is also influenced by speculative demand , foreign exchange reserve etc.
Pretty sure it’s product line
Answer:
b. False
Explanation:
In a competitive environment, pricing strategy is one of the strategies to ensure efficiency and profitability. But lowering of prices at the expense of deterioration in the quality of product offerings cannot be a recommended strategy.
The four competitive strategies specified by Michael Porter are namely, Cost Leadership, Differentiation, Cost Focus and Differentiation focus.
Under Cost leadership, a firm strives to offer it's products at the lowest cost and be the cost leader in an industry.
Differentiation refers to adding unique attributes and values to the products which differentiates such products from those of the competitors.
Cost focus refers to cost leadership when targeted at a particular marketing segment and similarly, differentiation focus is differentiation when applied to a specific marketing segment.
A firm cannot focus at price at the expense of quality of it's offerings. Thus, keeping prices down isn't all which matters.
