Product Life Cycle/ Boston Matrix
Product Life Cycle: stages that product goes through - introduction, growth, maturity and decline. this is a graph that is used to track where certain products are, with introduction being the beginning and maturity being the highest point a product can be at.
Extension Strategies: ways to improve a product when it is about to hit decline, a way of extending the products life span by widening the products range.
Market Share: how much of the market a business controls e.g apple has 30% of the market share
Product Range: where a company has a range of products.
Market Growth: growing in the market, high market growth is a good thing.
Boston Matrix: also a way of categorising products, it falls under 4 categories - high star, problem child, cash cow and dog.
What To Do With A Cash Cow: a cash cow is a product that has a high market share and low market growth such as the mars bar. when you have a product such as a mars bar the best way to handle it is to milk it.
What To Do With A Dog: a dog is something that has low market growth and low market share, when you have a product like this, the best thing to do is to kill it.
What To Do With A Star: a star is a product with high market share and high market growth, such as the iPhone 6, when you have a product such as iPhone 6 you should carry on investing.
What To Do With A problem Child: a problem child is a product with low market share but high market growth, when you have such a product a way of bettering the product is using a product trial test.