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ID number:324126
Evaluation:
Published: 17.04.2004.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

The theory of IPLC states that the mature product typically may become standardized across international markets. The yardstick for maturity in the product life cycle approach is the rate of sales growth. Changes in this rate mark the transition from one stage of the product life cycle to the next. To global car industry, some firms that manufacture cars may have ample opportunities for sales growth in the domestic market. But why large firms are willing to initiate global marketing for their well-established cars to expand business abroad. Simply because when the domestic markets for their cars are nearly saturated or reach maturity for sales decline, they may think of introducing standardised car to the international market to increase sales volume. It represents an increased tendency on the part of multinational enterprises to introduce new cars at home and abroad almost simultaneously.…

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