Disadvantages in the strategic of Maturing Industries

Question

Illustrates disadvantages in the strategic of Maturing Industries?

Answer 1

Strategic disadvantages are given below in Maturing Industries:

i. Being slow to mount a protection against stiffening competitive pressures.

ii. Concentrating more on protecting short-term profitability than on maintaining or building long-term competitive position.

iii. Waiting too long to respond to cost cutting by rivals.

iv. Over-expanding in the face of slowing growth.

v. Overspending on sales promotion and advertising efforts in a losing effort to fight growth slowdown.

vi. Failing to pursue cost reduction aggressively enough or soon enough.