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Answer: B
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While auditing a marketing department, the internal auditor discovered that the product life cycle model was used to structure the marketing mix. The manager has asked the auditor for advice about increasing advertising of various products. During which stage of the life cycle would it be appropriate to advertise that the entity's product is the lowest price and best quality of all competitors?
A. Decline stage.
B. Maturity stage.
C. Introduction stage.
D. Growth stage.
Answer: B
Explanation:
The maturity stage is the ideal time for advertising lower prices and superior quality because this is the period during a products life when competition is greatest Due to the availability of many substitutes an entity has reasons to set itself apart. Because price and quality are both concerns of customers during the maturity stage it is an ideal time for the entity to differentiate its product by advertising low prices and higher quality.
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