Marketing - Product - 1.2

Question 1

Explain the maturity and decline stages of the PLC

PLC = product life cycle

Answer 1

MATURITY– Sales are at their peak. Advertising is reduced as the product is now recognisable.

DECLINE– Sales begin to fall.

Question 2

Explain the introduction and growth stages of the PLC

PLC = product life cycle

Answer 2

INTRODUCTION– Product is launched on the market. Advertising costs are high for the product to get noticed.

GROWTH– Sales are rising and advertising costs are still high. A profit may be made, if all research, development and advertising costs have been made back.

Question 3

Describe the product life and list the stages of the cycle

Answer 3

• the amount of time a product goes from being introduced into the market until it’s taken off the shelves

stages
- introduction
- growth
- maturity
- decline

Question 4

Provide 3 ways a business could use to extend the PLC

PLC = product life cycle

Answer 4

• Revamp the product
• Reduce the price
• Use different promotion techniques

Question 5

What is branding?

Answer 5

A name, symbol or design that a producer uses to make a product recognisable.

Question 6

Name 2 advantages and disadvantages of branding

Answer 6

ADVANTAGES
* Higher price can be charged
* Customer loyalty

DISADVANTAGES
* High initial costs
* One product can affect the whole brand image

Question 7

What is the purpose of packaging?

Answer 7

To provide protection during transportation, customer appeal and recognition.

Question 8

Give one advantage and one disadvantage of packaging

Answer 8

ADVANTAGES
* Protects the product

DISADVANTAGES
* Fakes can appear expensive to fight