As sales fall in the decline stage of the industry life cycle firms typically
A) lower prices to maintain market share.
B) shed assets and cut costs.
C) file for bankruptcy to be able to reorganize more easily.
D) invest greater amounts in research and development to begin the process of renewal.

Question

Quizplus · Accepted Answer

In the decline stage, firms often shed assets and cut costs to maintain profitability as sales decrease.

As Sales Fall in the Decline Stage of the Industry