Which Product Life Cycle stage is associated with product sunset?

• A. Introduction
• B. Growth
• C. Maturity
• D. Decline

Answer: (D)

In the Product Life Cycle, sunset aligns with the decline stage. This stage is characterized by falling sales and shrinking profits as demand wanes, market interest fades, and the product becomes less competitive or obsolete. Firms often choose strategies like harvesting remaining profits, divesting, or discontinuing the product to exit gracefully. The other stages don’t fit because introduction involves building awareness with low sales and high costs, growth focuses on accelerating demand, and maturity features peak sales with heavy competition but still viable profits. Sunset signals a continued downward trend, which is the hallmark of the decline stage.