CCEA A-Level Technology and Design 8900
Material Selection and Wood
Metals
Plastics
Composite and Emerging Materials
Processing Materials
Product Analysis and Design Communication
Design for Manufacture, Quality and Safety
Electronic Control SystemsOption A
Microelectronic Control SystemsOption A
Mechanical and Pneumatic ComponentsOption B
Mechanical and Pneumatic SystemsOption B
Designing and Manufacturing ProductsOption C
Product Design in Industry and SocietyOption C
Product Development
Product and System Design and Manufacture
Product Design in Industry and Society
Product life cycles, consumer types and relaunches
- 3 things to know
- A2 1
Overview
The stages of the product life cycle, extension strategies, fad, fashion and basic products, innovators, opinion leaders and laggards, decline and successful relaunches.
What you need to know
Answer each one before you reveal it.
What happens at the inception stage of a product's life cycle?
Why are profits usually negative during the introduction stage?
Questions from this subtopic
Each one with the model answer underneath.
- 1
What are the five stages of the product life cycle?
Model answer
The five stages are inception, introduction, growth, maturity and decline. Sales and profit change in a typical way at each stage.
- 2
What happens at the inception stage of a product's life cycle?
Model answer
Inception is the development of the idea before launch, including research, design, prototyping and testing. Costs are high and there are no sales yet.
- 3
Why are profits usually negative during the introduction stage?
Model answer
Launch costs for promotion, tooling and distribution are high while sales are still low. Many buyers wait until the product is proven.
- 4
What characterises the growth stage?
Model answer
Sales rise quickly as the product becomes known, and unit costs fall with higher volumes. Competitors are attracted and start launching rival products.
- 5
What happens to sales and competition at the maturity stage?
Model answer
Sales level off because most of the target market already owns the product. Competition is intense, so prices fall and firms add features or promote heavily.
- 6
What are extension strategies? Give two examples.
Model answer
Extension strategies are actions that delay decline and prolong the mature stage. Two examples are launching a new colour range and selling into a new overseas market.
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