Advances in IT have enabled managers to make gigantic leaps in the way they can collect timelier, complete, relevant, and high-quality information and use it in more effective ways. When IT is advancing, organizational survival requires that managers quickly adopt and apply it. One reason for this is how IT affects the length of the product life cycle, which is the way demand for a product changes in a predictable pattern over time. The shorter a product's life cycle because of advancing IT, the more important it is to develop innovative products quickly and continuously. Increasingly, managers are trying to outdo their rivals by being the first to market with a product that incorporates some advance in IT.

This exercise is intended to help you understand not only the product life cycle itself, but also the ways in which information technology affects the length of the stages in the product life cycle.

Instructions: For each scenario, select the appropriate stage in the product cycle.

5. Alex - Has just launched a new type of computerized lawn mower with many features never offered before. He really hopes it will catch on.

(Click to select) Embryonic Stage Growth Stage Maturity Stage Decline Stage

6. Lynn - Just sent out a press release describing the accelerating growth in sales of hybrid vehicles.

(Click to select) Embryonic Stage Growth Stage Maturity Stage Decline Stage

7. Thandi - Works selling digital TV services. Lately, it seems she is spending more time convincing customers to switch providers than actually signing up first-time users.

(Click to select) Embryonic Stage Growth Stage Maturity Stage Decline Stage

8. Yanto - Thinks he will have to sell his movie rental business. There is just too much competition from video on demand through cable and web outlets.

(Click to select) Embryonic Stage Growth Stage Maturity Stage Decline Stage