Explain the product life cycle with an example.
The term product life cycle refers to the length of time a product is introduced to consumers into the market until it's removed from the shelves. The life cycle of a product is broken into four stages; introduction, growth, maturity, and decline. Many brands that were American icons have diminished and died. Better management of product life cycles might have saved some of them, or maybe their time had just come.
A good example of a product life cycle is coca cola where by very little is known about the development of Coca-Cola and how they created the mysterious formula. The product was introduced in 1886 and the year of its foundation, the brand already seemed to have the right project. In less than ten years after its launch, Coca-Cola was already consumed in all the U.S. states. About its maturity, it’s impossible to say exactly when the brand reached maturity, but it’s safe to say that it has spent most of its history until now in this stage. Lastly, about its decline, since 2012, the net operating revenue of Coca-Cola has altered towards decreasing; while a small decrease is within what’s expected for the maturity stage, investments in marketing and new products must continue.