What kind of pricing strategy is adopted over the life cycle of a product. what do you think will be an appropriate price policy when the demand reaches its saturation and substitute product is likely to enter the market?

solution:

Pricing over Life-Cycle of a Product:

• Product life cycle management (or PLCM) is the succession of strategies used by business management as a product goes through its life cycle.

The life cycle of a product is generally divided into four stages:

(i) Introduction stage

(ii) Growth stage

(iii) Maturity …