The Target

Sunday, 13. May 2018

These are activities not remunerated by itself same and highly expensive. The resources available are limited, therefore limited shall also be the confidence deposited in the success of the proposal, under pain of that creation put at risk the very existence of its creators. Growth: At this point the sales embark on an exponential growth. The product begins to be known. It penetrates the target market segments and increases rapidly its participation fee. Proportionally, margins are expanded because unit manufacturing costs begin the descent supported by application of productions to scale, improvements in the processes and development of the productive forces. However, this phase also brings with it a great threat: the competitors.

Given the acceptance of the offer, the market starts to grow and lends itself more attractive in the eyes of the other performers, so this afternoon or early began to migrate in greater or lesser numbers and a dispute positions that the Organization has achieved. It’s an extremely delicate stage, and while sales generated extensive benefits, large numbers of these must be reinvested in process improvements and product differentiation to make it less imitable by competition. Another viable strategy could be the price war, which becomes an opportunity cost that affects the margin and which therefore also can be considered as a reinvestment of the unrealized gain. Maintain an aggressive promotion can be beneficial, competitors, will however also make it so it isn’t too strong competitive advantage, although Yes it would help maintain market shares achieved relying mostly on loyalty customer, among other programs. Maturity: The equivalent of the cow in the BCG matrix product.

Now the time of milking to the ruminant and reap the benefits. At this stage the product has settled on the market, just as it has done also to a greater or lesser extent the of the competitors. Steady sales and profit margins also.