ECONOMICS
BUSINESS CYCLES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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creating a business idea
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responding to market competition
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cutting quality without compromising quality
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writing a business plan
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Detailed explanation-1: -Challenges during the maturity phase include continued competition, uncertainty about adding new products or services, and questions about how to develop an appropriate exit strategy for your business.
Detailed explanation-2: -The post-maturity phase is the final stage of the business life cycle. Typically, the business has failed to respond to increased competition and is haemorrhaging market share. This phase is characterised by falling sales and loss of market share. The business soon becomes unprofitable and cash flow problems emerge.
Detailed explanation-3: -Maturity – In the maturity stage, sales slow down, indicating that the market has begun to reach saturation. This is also one of the stages of the product life cycle when pricing becomes competitive. This makes the profit margins thinner.
Detailed explanation-4: -As mentioned earlier, it includes four stages-introduction, growth, maturity, and decline.