ADMS 1000 Study Guide - Final Guide: Asia-Pacific Economic Cooperation, Multinational Corporation, North American Free Trade Agreement

• School: York University
• Department: Administrative Studies
• Course: ADMS 1000
• Professor: Ethan

Document Summary

The industry life cycle model (4 stages): an inverted u-shape growth pattern that is seen in almost all industries given a long enough period of observation. Emergence/introduction: new industries emerge as the result of changes, usually technological or regulatory, that create opportunities for entrepreneurs to develop new innovative products. In the introductory stage, the objective is to find new. Highly fragmented industry"s dominant model and get it accepted. Small, entrepreneurial firms markets customers willing to pay a premium. Growth: the second phase occurs after the industry coalesces around a particular approach and a dominant model, this leads to a shakeout where many firms exit the industry. Maturity: the third phase, where the market stabilizes and sales grow more slowly. Firms must become more efficient during this stage. Firms spend large amount of money on advertising and. Higher prices and sometimes enter a damaging price wars to lure customers from the competition.