Developing a PLC for two competing products in a same industry
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This report compares the product life cycle stages of Samsung and Apple mobile phones in the same industry. It covers the four stages of PLC: Introduction, Growth, Maturity, and Decline. The report highlights how their sales increase and decrease over time.
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Developing a PLC for two competing products in a same industry
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Table of Contents INTRODUCTION...........................................................................................................................3 MAIN BODY...................................................................................................................................3 CONCLUSION................................................................................................................................4 REFERENCES................................................................................................................................1
INTRODUCTION Product life cycle is a marketing concept which reflects the time gap between a product market entry and its exists (Margarida and et al, 2021). This report defines and compare the product life cycle stages in reference to Samsung and Apple mobile phones. Its stages will highlight how mobile phones enter the market and build awareness. Furthermore, how their sales increase and decreases in time intervals. MAIN BODY Samsung and Apple both are known mobile brands. Both have number of mobile phones and which compete among themselves. The Product life cycle of Samsung and Apple mobile phone is studies under the four stages of PLC. It includes; Introduction, Growth, Maturity and Decline (Nath Kakoli, 2017). Introduction:Introduction stage of the cycle is the most expensive for company, as it involves the launching of new mobiles in market. Apple with its high cost iPhone suffer with low sales and financial losses in this stage. Whereas, Samsung with budget friendly mobile phone does not face low sales and losses, but has to face high competition. For example: introducing the iPhone 13 requires huge investment in term to launch of Samsung galaxy phones. Growth:This is the stage in which the product increasingly gains acceptance among customers and start earning profits. Apple in this stage enjoy the benefit of brand conscious customers. Its sales increase and profit rises but cost per customers falls. But Samsung does not gain much hike in profits as compared to Apple. In current period its mobile phones get slow growth or run in market due to huge competitors in same price range. Maturity:Maturity is the stage where the sale is at peak point and then start decreasing. This is the stage in which investment is done to maintain the market share. Apple as compared to Samsung required high investment as its phones cost too high. In this stage of PLC both the companies enjoy high profits with stable customers. For Apple currently iPhone 12is atmaturity stage but launching of 13 resulted decrease in the sales of 12 pro and 12. Decline:It is the terminal stage where sales start dropping down and result in decrease of sales in particular product. Profitability with that particular product start declining. The
launch of iPhone 13 resulted as decline in sales of iPhone 12, 11 and several previous series. In such situations Samsung switches to less-expensive production method or launch cheaper price mobile phones, in order to serve its stable customers rather they switch to other brands. CONCLUSION Above discussion reflect that, Product life cycle is the tool used by the marketing professional while decision-making regard to product launch and its redesign. The PLC of Samsung Galaxy Phones and Apple iPhone is compared above. Its four stages; introduction, growth, maturity and decline defines the time duration and life span of both mobile phones from introduction to its exist from the market. The report also gives the brief idea about how long their mobile phone survive in market as a leader.
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REFERENCES Books and journals Almeida, Margarida, et al. "Samsung vs. Apple: Product Life Cycle "Administrative Sciences11.1 (2021): 19. Nath, Kakoli. "The Study of Different Stages of PLC. "Asian Journal of Management8.2 (2017): 155-162. Stark, John.Product lifecycle management (volume 3): the executive summary. Springer, 2017. Online referencesPRODUCT LIFE CYCLE? (DEFINITION, STAGES AND EXAMPLES) PRODUCT LIFE CYCLE (DEFINITION, STAGES AND EXAMPLES)., 2021. [Online]. Availablethrough<https://www.twi-global.com/technical-knowledge/faqs/what-is-a- product-life-cycle> 1