Profits generally are low,or even negative,in the introductory stage of the product life cycle.

Question

Quizplus · Accepted Answer

During the introductory stage of the product life cycle, companies typically invest heavily in research, development, and marketing to create awareness and demand for the new product. These investments often result in high costs that outweigh the limited sales, leading to low or negative profits. As the product gains acceptance and moves into the growth stage, profits usually start to increase.

Profits Generally Are Low,or Even Negative,in the Introductory Stage of the Product