Investment in advertising and promotion is required in order to stimulate consumer awareness and product trial, and profitability is low or negative as a result. Prices are usually high and consumption is dominated by early adopters . Growth - Awareness of the product increases and consumption shifts from early adopters to mass market. Sales growth increases although profitability may be reduced by the investment required to scale up production and retain customers. Maturity - Sales plateau and profit margins are reduced.
Competition shifts to production efficiency in order to maintain profitability.
Mass market consumers establish consumption patterns, and competitive rivalry intensifies as companies fight for customer loyalty and satisfaction. Strategy - A coherent set of actions aimed at corporate success 2. The organisational chart and accompanying detail that defines lines of reporting and division of responsibility 3. The values that go beyond formal goals and objectives 5. Skills - The capabilities that are possessed by an organisation as a whole rather than the people within it 6.