Gold Peak is a brand of iced tea introduced by Coca-Cola North American and intended to taste like the tea ""Mom used to brew."" The tea has high marketing costs as well as high production costs. Promotions for the product are aimed at informing consumers that this premium product tastes like it's home-brewed. In which stage of the product life cycle is Gold Peak iced tea?

Question

Business

Yosef Harvey

25 March, 12:49

Gold Peak is a brand of iced tea introduced by Coca-Cola North American and intended to taste like the tea ""Mom used to brew."" The tea has high marketing costs as well as high production costs. Promotions for the product are aimed at informing consumers that this premium product tastes like it's home-brewed. In which stage of the product life cycle is Gold Peak iced tea?

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Answers (1)

Know the Answer?

Aaden Lin · Answer 1

The correct answer is introductory.

Explanation:

In short, it is the stage where the conception, definition and experimental period of the product is fixed, studies say that more than 70% fail to launch to the market. It is characterized by:

Low sales volume Great technical, commercial and communication investment. Great effort to fine-tune the manufacturing means. Difficulties to introduce the product in the market. Low saturation of your potential market. Few bidders. Special dedication of the sales team.

In summary, this phase is characterized by a negative profitability due to the great resources that are necessary to manufacture, launch and refine the product, compared to the sales volume achieved.