Draw the sales line and the profit line of the product life cycle in the following diagram, and label each line. Then indicate the names of the four stages of the product life cycle in the blanks provided.
What will be an ideal response?
See Exhibit 11.5. The sales line should start at zero sales at the beginning of the introductory stage, accelerate during the growth stage, peak in the maturity stage, and decrease during the decline stage.
The profit line should start in the negative range during the introductory stage, break even at the start of the growth stage, peak during the growth stage, and reach a near-zero asymptote during the maturity and decline stages. At no point should the profit line be above the sales line.
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a. True b. False Indicate whether the statement is true or false
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Generic headings are used
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a. 0 b. 1 c. More than 1 d. May be 1 or more than 1