Products at the End of the Life Cycle
September 9, 2011 1 Comment
The company can sell its product in a different environment. The new market can be domestic or international depending on the product specifications and the new market demand. Products at the end of their life cycle can be a burden on the company because the margin between manufacturing the product and its selling price is declining (Jevons et al., 2007). Low-tech cell phones are a good example for market relocation. The low-tech phones may be at the end of their life cycle in the developed countries, but there is a good demand for such phones in the developing countries because of their relatively low price. The cell phone users in the developing countries need simple to use phone to communicate in the remote areas and other high-tech functions are neither important or available in the remote areas.
Jevons, C., Ewing, M., & Khalil, E. (2007). Managing brand demise. Journal of General Management, 32(4), 73-81.