Lessons Learned from Years with
Stages of Product Development
We all agree to the fact that lots of businesses have come up in the last decade. Discover more on the high competitive levels in product inventions. It is also vital to note that product development involves these major steps. It is with no doubt that most businesses are established mainly to increase sales and maximize profits. There are five stages of a product life cycle.
View this page to learn more on the product development stage. At this stage, the business has to source for extra funding from external sources. You will find that cash outflows are greater than inflows at this stage since there is a small market. For more info on the different sources of business funding, see here.
Secondly, product development begins with introduction stage. Introduction stage involves marketing tools and strategies of the product. Marketing will increase product awareness in the market. Considering the fact that there are different marketing strategies, discover more on the one that suits your type of product on this site.
Product development cycle involves growth after it is introduced I the market. Every product that comes into the market and has increased market will need to be produced in large quantities for it to meet the rising demand. You will find that there are many raw materials, machinery and equipment to beaded in the growth stage. We all agree to the fact that human resource is a major determinant of how the product growth is handled. To achieve quality work from these workers, this link will guide you.
After going through development, introduction and growth stages, the next stage in product development is maturity or saturation. During maturity phase, low production and advertising costs enable a business to maximize on sales and profits. The company has already created connections with potential buyers, and expenses are now scaled down to delivery costs and paying employees. In addition, this is the stage where customers have other cheaper preferences to choose form, and start going for them. To keep at pace with the high competitive levels, there is need to adopt product innovation measures.
Economists agree to the fact that for every new product, there comes a time when it goes through the decline phase. A product’s decline is depicted by when it starts selling less as compared to before. Decline stage is associated with more competition from other products. At the decline stage, business owners can opt for discontinuing the product, business franchising, product innovations, finding new uses or exporting the product. It is advisable to consult highly experienced business consultancy firms on what will save your product during decline phase.
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