Question

Unibronx is a company that manufactures inverters. It does extremely well in the market in its first year of business—its sales cross the expected mark and the profits soar. However, in the next two years, the company's sales and profits go down substantially because of tough competition from its rivals. This scenario exemplifies a change in Unibronx's _____.A. product bundling
B. product diffusion map
C. product life cycle
D. product mix

Answer 1

Answer:

C) product life cycle

Explanation:

A product life cycle has 4 stages:

1. introduction: a new product is introduced to the market usually with a marketing campaign
2. growth: the demand and the sales of the new product start to rise
3. maturity: the product is well known with a steady demand but new competitors enter the market
4. decline: the sales start to decline and the product loses market share

Unibronx's inverter is a mature product.