Question

1.    In your own words, summarize the industry life-cycle (Pearson text)

2. Having been declared an essential service, research the internet and briefly explain at which stage of the industrial life-cycle you believe the Cannabis industry is in?

Answer 1

1 - The industry life cycle can be divided into four stages namely the introduction , growth , maturity and decline. The maturity is the maximum point in this cycle after which the decline starts. The introduction phase is the entry of the industry into the market , the launching of the product , incuring expenses upon building the market standing and lower profits. Eventually the profits start increasing as the industry moves towards the growth , it attains the maiximum level when it is at maturity and works at its full capacity. After this , due to obselence , arrival of new products , competitors , the industry starts to lag behind and gears shift to the declining phase.