ABSTRACT
Products, like people, typically pass through predictable phases. A product is conceived and eventually “born;” it “grows” as it gradually gains in buyer acceptance, eventually it “matures” as it attains full buyer acceptance, and then it ultimately “dies” as it is discarded for something better. There are, of course, exceptions to this process. Death sometimes comes prematurely, dashing expectations before they even begin to materialize; youth sometimes extends inordinately, deceiving the unwary into thinking it can last forever. Still, the exceptions notwithstanding, the typical life pattern affords managers a chance to understand the present and anticipate the future of most products. Such understanding, anticipation, and preparation make up a firm’s long-run strategic plan. Profitable pricing is the bottom line measure of that plan’s success.
