Final Part II--Essay Question #1: 13/20
Briefly describe each of the four stages of the industry life cycle (explain 2 key characteristics for
each stage) and how you would apply each stage to describe the evolution of the automobile
industry. (Total 20 marks)
An appropriate use of the diagram, though the student might have started with a brief
introduction about the cycle as a whole.
“Entrepreneurs” is the noun; the student has used the adjective form. While students aren’t
penalized for errors like this, it does affect readability and the overall quality of the answer so
you must be careful with your style of expression.
First, not last.
This needs to be explained, as it is central to this part of the industry cycle. Why are
organizations usually organic? The problem here is the student is using terms without really
explaining them and demonstrating how they can be used to answer the question.
Good use of this example to back up the answer.
It isn’t just sales, but also awareness of the product and the number of competitors in the market.
Why else might they not be able to compete? For example, refer here to the lack of resources or
place in the market and public awareness.
Good point and use of these examples. Although you must be careful to point out that it isn’t just
the automobile industries in general, but those in these particular countries.
Some very good concepts used here – again further marks might have been gained by expanding
on the use of the concepts. So, what kind of mechanistic structure might we have observed in the
car industry – i.e. use of scientific management or some such perhaps?
But this doesn’t really explain why it is at the maturity stage.
Not really, at this stage there are rarely any new customers – the late adopters will come at the
mature rather than at the decline phase. Some reference might have been used here to
demographic factors which can create a decline in a particular industry such as the examples
used in the decline of the brewing industry. What about changes in tastes?
Some examples of companies which have merged would have been helpful here or those which
have exited a market at the decline phase. Final Part II--Essay Question #1
Introductory stage: in