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... market share. The firm should also try to look for other opportunities before the product finally releases the final share.
Decline phase (Phase E)
The product finally release the declining phase during while sales begin to decline and market share begins to shrink. At this point the firm should systematically reduce further expenses on the products and milk it finally removing it from the market to generate whatever money that can be generated from the product before.
STRATEGIES USED IN MARKETING
The essay is based on different strategies that can be adopted in order to enhance effective marketing.
Details
| language |  | english |
| wordcount |  | 5551 (cca 15 pages) |
| contextual quality |  | N/A |
| language level |  | N/A |
| price |  | free |
| sources |  | 2 |
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Preview of the essay: STRATEGIES USED IN MARKETING
STRATEGIES USED IN MARKETING Divestment and Liquidation This involves selling the business to recover some of the investments. It should be done quickly as possible before buyers are certain about the future direction of the demand pattern in the industry. However, a firm that divests early runs the risk that is forecast of the industry’s future may be wrong. Further divestment may not be easy where exist barriers are high. Competitors that refuse to divest and choose to remain in the declining market can adopt the following strategies: 1. Harvesting strategy – this is also called milking, and aims at generating cash quickly by maximizing cash flow over a relatively short term. It is done by avoiding additional investment and reducing operating expenses, and perhaps raising prices. This works best if the firm holds a relatively strong competitive position in the market at the start of the decline, or when competition among the remaining competitors is not likely to be strong. 2. Maintenance strategy – Done in situations where future direction and attractiveness are hard to predict. A business with a leading share will try to maintain that share, at least until the markets future becomes more predictable. This ...... market share. The firm should also try to look for other opportunities before the product finally releases the final share.
Decline phase (Phase E)
The product finally release the declining phase during while sales begin to decline and market share begins to shrink. At this point the firm should systematically reduce further expenses on the products and milk it finally removing it from the market to generate whatever money that can be generated from the product before.
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Economics
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