Market penetration curve

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Ett vanligt förekommande problem är att företag kan vara snabba på att reducera priset och reducera för mycket, för att generera intäkter men dock blir dessa kortsiktiga. Varje säljare reagerar på den andra säljarens strategier och drag. Begins  with  a  high  entry  price  that   lowers  with  time. Oligopolistic competition — består av några försäljare som är väldigt känsliga mot varandras prissättning och marknadsstrategier. They add selling capacity which reduces sales to existing firms making competition more intense now and in the future.

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Thus,  when  a  market  matures  the  volume  will  decline.

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Porter claims that you have to be one or the other; but what about firms that create blue oceans Differentiation can take place at the product line level: Lead  users  on  the  other  hand,  highly  knowledgeable  and  skilled   users,  are  to  be  used  instead. If developing nations are attractive growth markets for basic industrial and infrastructure goods and service and if there is growing incomes and falling trade barriers then they have potential. These  customers   are  quality  conscious,  fairly  well  informed,  and  somewhat  price  sensitive. The greater the threat here, the less attractive an industry. Three types of VMS: They add selling capacity which reduces sales to existing firms making competition more intense now and in the future.

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