NutriOats, an oatmeal cookie product, has been in the market for more than seven years and is now in its decline stage. In this case, which of the following strategies would be successful in marketing NutriOats?

a. Lengthen the product line.

b. Focus on adding new users.

c. Spend heavily on advertising to educate consumers about the product's benefits.

d. Eliminate all nonessential marketing expenses and let sales decline.

Answer: d. Eliminate all nonessential marketing expenses and let sales decline.

The beginning of which stage of the product life cycle is signaled by a long-run drop in a product's sales?

a. Introductory stage

b. Growth stage

c. Maturity stage

d. Decline stage

Answer: d. Decline stage

Atwood Furnishers is experiencing a period when their sales are increasing at a slower rate. The company realizes that new users cannot be added indefinitely and that, sooner or later, its market will approach saturation. Which stage is the company now entering?

a. End of the decline stage

b. End of the introductory stage

c. Beginning of the growth stage

d. Beginning of the maturity stage

Answer: d. Beginning of the maturity stage

Magnira Corp. is an apparel company. After a slow start, it saw a steep rise in the number of its customers and a remarkable increase in its profits. However, with the launch of competing apparel manufacturers in the market, the profits of Magnira have started declining. To sustain its growth in the market, the managers of Magnira should

a. focus on primary demand stimulation rather than advertising the brand.

b. shift to aggressive brand advertising and open new branches of its stores.

c. advise top management to reduce the number of employees in the company.

d. distribute the company's products at limited outlets.

Answer: b. shift to aggressive brand advertising and open new branches of its stores.