The discovery of the life cycle model of the product is due to Theodore Levitt, who used the concept for the first time in a 1965 paper published in the Harvard Business Review. According to Levittproducts, like living beings are born, grow, develop and die, but the business world makes these concepts can stay somewhat obsolete today as life cycle has a new stage of life for satisfactory productdevelopment, we are talking about the turbulence. Therefore, in the XXI century we speak of five stages:
• Launch or introduction.
The CVP conceptcan describe a product class, a form of product or brand. The concept of CVP is applied differently in each case. The kinds of products have longer life cycles. Sales of many kinds of products remainin the mature stage for a long time. By contrast, the product forms often have the standard behavior of the CVP. Product forms, go through a regular history introduction, rapid growth, maturity anddecline. The life cycle of a specific brand can change quickly because of attacks and responses changing competition.
The CVP concept can also be applied to what is known as styles, fashions and fads.LIFE CYCLE OF A PRODUCT
Release or introduction phase
In short, is the stage where the design is fixed, definition and product experimental period, the studies saythat about 70 per 100 fail to release. Characterized by:
• Low turnover.
• Great technical investment, trade and communication.
• Great effort to perfect the means of production.
• Difficulties inintroducing the product in the market.
• Low potential market saturation.
• Few bidders.
• Special Dedication sales team.
In summary, this phase is characterized by a negative return because ofthe great resources that are needed to build, launch and refine the product, compared to sales volume is achieved.
QUESTIONS AND STRATEGIES IN THIS STAGE
For all the hope and expectation that...
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