Products & Markets06 November 2017 · Simon G. J. Devos, M.A., M.A.
Agenda1.Product Lifecycle2.Ansoff Matrix3.Boston Consulting Group Matrix
ProductLifecycle•Products move through a predeterminedpattern ofdevelopment.•Products move througha cyclewhich consistsofdifferent stages.Baines et al (2014) p. 312
ProductLifecycle•The majority of products have a finite periodduring which the management needs tomaximize their returnson the investmentmade.Baines et al (2014) p. 313
ProductLifecycleMøller, C. (2016)
ProductLifecycle: Market Introduction•Product/service has only just been offered•No revenue or profit•Potential customers have very little knowledgeof the product and have to be activated•Successful entry depends on first movers!Møller, C. (2016)
ProductLifecycle: Growth•Potential customers rely on innovaters whohave laready purchased your product•Customers have some knowledge of youroffering•Customers start comparing pricesMøller, C. (2016)
ProductLifecycle: Maturity•Many products and services fail in the transitionto this stage and never mature•Focus on value creation and competitiveadvantages, not market share•Increased price competitionMøller, C. (2016)