A technology company has just begun to make a profit on its DVD-R discs (DVD discs in a recordable format). Its promotional expenditures are aimed at trying to persuade potential customers of the merits of its DVD-R discs. Even more money is being spent to develop the firm's distribution system for its DVD-R discs. Since
Apple's iMac now comes with a DVD recorder as a standard part, a few other companies have started producing DVD-R discs for the market. What stage of the product life cycle is the DVD-R in?

Question

Quizplus · Accepted Answer

The fact that other companies have started producing DVD-R discs and a major technology company (Apple) has incorporated it as a standard feature in their product suggests that the DVD-R is in the growth stage of the product life cycle. The company is investing in promoting and developing the distribution system for the product, which is typical of the growth stage.

A Technology Company Has Just Begun to Make a Profit