Profits rise in the introduction and growth stages, but sometime within the growth stage, or certainly by maturity and decline, profits drop.

Question

Quizplus · Accepted Answer

This is because in the introduction and growth stages, a firm is able to establish itself in the market and gain market share, which leads to increased sales and profits. However, as competitors enter the market and the market becomes saturated, profits begin to drop in the maturity and decline stages.

Profits Rise in the Introduction and Growth Stages, but Sometime