Strategies used to extend the product life cycle

All businesses want to maximise their profits by ensuring that the lifespan of their product is as long as possible. Businesses can adopt several strategies to extend the life of their product. They can:

• make modifications to the product eg new car model
• change the packaging
• reduce the price
• export to a new market
• introduce new varieties eg lime-flavoured Coke
• increase the advertising

Some businesses may decide not to employ any extension strategies, and simply withdraw the product from the market. At the decline stage, the business should be prepared and have a second product ready to replace the declining product.

Consider how these products have had their life cycle extended: Coca-Cola, Kit Kat, Playstation console.