Meaning of the life cycle of a product
What is the life cycle of a product:
The life cycle of a product (CVP) defines the stages that a product goes through from its birth to its decline.
The life cycle of a product is a term coined for the first time in 1965 by the American economist Theodore Levitt in his article "Exploiting the life cycle of a product" for the publication Harvard Business Review.
Knowledge about the life cycle of a service or product is important to be able to identify the stage in which the product is in order to generate the appropriate strategy in order to reintroduce, relaunch or redesign the good or service to perpetuate its income.
In marketing or marketing, Philip Kotler defines the life cycle of a product as the stages that a good or service goes through, defined by the profits and losses that are generated.
See also Product.
Stages in the life cycle of a product
The Levitt product life cycle chart shows four stages: introduction, growth, maturity and decline, with the maturity stage being where the greatest profits will be generated.