The sales of most product forms and brands eventually decline. Sales decline for a number of reasons including technological advances, consumer shifts in tastes and increased and foreign. All lead to overcapacity, increased price cutting and profit erosion.
As sales and profits decline, some firms withdraw from the market. Those remaining may reduce the number of product offerings. They may withdraw from smaller market segments and weaker trade channels. They may cut the promotion budget and reduce their price further.
Be the first to comment on "DECLINE STAGE:"