4. Select an industry and consider how the industry life cycle has affected business strategy for the firms in that industry over time. Detail your answer based on each stage: introduction, growth, shakeout, maturity, and decline.

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16-03-2020
Business

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4. Select an industry and consider how the industry life cycle has affected business strategy for the firms in that industry over time. Detail your answer based on each stage: introduction, growth, shakeout, maturity, and decline.

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alinakincsem alinakincsem · Answer 1 · 2020-03-22T14:42:17+01:00

Answer:

Lets talk about the rice industry and discuss it in the light of the stages of of a business;

Introduction: The industry will start small and enter the competition among other rice mills in the area.

Growth: The company starts to make rapid sales and cash inflow increases.

Shakeout: The sales slow down slowly as the company is covering the distance towards maturity.

Maturity: The company has reached a stage where the cash inflow is stagnant along with the sales. No further growth is happening in the rice mill.

Decline: The company is over run with factors such as market competition and economy. Failure to keep the expenses afloat will eventually decline.