When a product is in the maturity stage of the product life cycle,:
A) marginal producers are still making profits.
B) trade-in sales become less significant.
C) profits of both manufacturers and retailers start to decline.
D) price competition decreases.
E) none of the above occurs.

Question

Quizplus · Accepted Answer

In the maturity stage of the product life cycle, the market becomes saturated, leading to increased competition. This results in a decline in profits for both manufacturers and retailers as they may have to reduce prices or increase marketing and promotional expenses to maintain their market share.

When a Product Is in the Maturity Stage of the Product