Here's What No One Tells You About Stages Of International Product Life Cycle.

The cycle which shows the journey of the a product in the market is known as the product life cycle. When a product cross the borders of its country and start trading in the another country than one more word get added to it i.e. International and the cycle which shows the product journey from the domestic country to host country, from the beginning of the product till the end is  generally know as international product life cycle. This cycle shows the product development and growth in home country and the host country, It also shows the stages by which a product passes through when it spreads its wings to another country.

When the home market seems limited to a company and the demand could not meet the supply than the next thing come in the mind of the entrepreneur to widen it market by extending the  geographical area for the product. It find those country which are advanced and having high spending capacities.

1.Stage Zero: Local Innovation

This is the very first step of international PLC, this stage begins when a company comes with an idea and convert the idea into a product or services.  A innovative product is developed in a home market with an aim that the higher income group people would prefer to spend money on innovative products. The idea must be economical and focus on the current need of the customer globally so that the product would be adopted in the foreign market too. At this stage the product is  successful introduced in the home market, when the company finds that the product's demand is rapidly growing in the home country it think to market the product across the countries border.

2.Stage One: Overseas Innovation

When product is developed and succeeded in the home country than the company enters in the foreign market they may start exporting the product or open their own branch in the foreign market. Before entering to the foreign market the company need to have a detailed information  about their economic condition, political condition and demographic profile of the customer. They should research about the need and preference of the customer and according to their need and preference they can make the product standardized or customized . At this stage they introduce the product in the foreign market. This stage allows the company to increase the revenue ans the sales of the company

3. Stage Two: Maturity

This is the third stage in international product life cycle. At this stage the sales of the company reaches to its peak and starts decline. The cost of production comes down as well as the price of the product. This is the longest period in which demand of the product rapidly increases in the foreign market which shows that the product has made the place in  the foreign market. The company can  introduce little changes in the product to keep this stage as long as possible. As the most popular brand of smartphones such as Apple and Samsung are facing this stage and keep introducing a new product too keep this stage longest and service in the market. 

4. Stage Three: Worldwide Imitation

The word imitation means to copy. When a company is running successful in the host country, a local firm may copy the product and increase the competition. Local firms have a better knowledge about the requirement of the local people so they try to copy the similar product with some modification to attract the local  buyers, lower its prices and sell in the same market. By doing this take escape from the loss of product failure.