Ad
related to: product life cycle vernon
Search results
Results from the WOW.Com Content Network
The Product Life Cycle Theory is an economic theory that was developed by Raymond Vernon in response to the failure of the Heckscher–Ohlin model to explain the observed pattern of international trade. The theory suggests that early in a product's life-cycle all the parts and labor associated with that product come from the area where it was ...
Raymond Vernon (September 1, 1913 – August 26, 1999) was an American economist. ... His formulation of the Product life-cycle theory of US exports, ...
The key for the theory is the rate of diffusion of technology. Moving on to 1966, Vernon further extended the technology gap model into the product life-cycle theory. [2] The degree of maturity of the technology became the new key of the dynamic economic trade. Vernon's theory resonances with the technology gap theory.
As first articulated by Raymond Vernon in 1966, a product goes through a life cycle consisting of four stages: "new product", "growth product", "maturity product" and "obsolescence product". The conditions in which a product is sold change over time and must be managed as it moves through this succession of stages.
Wells, Louis T. Product life cycle and international trade. (1972). Vernon, Raymond, and Louis T. Wells. Manager in the international economy. (1976). Wells, Louis T. Third world multinationals: The rise of foreign investments from developing countries. MIT Press Books 1 (1983). Vernon, Raymond, and Louis T. Wells.
The theory originates from the work of Raymond Vernon, who described the development of international trade in terms of product life-cycle – a period of time during which the product circulates in the market. Vernon stated that some countries specialize in the production and export of technologically new products, while others specialize in ...
Get AOL Mail for FREE! Manage your email like never before with travel, photo & document views. Personalize your inbox with themes & tabs. You've Got Mail!
There are several life-cycle models in each industry to consider, but most are rather similar. What follows below is one possible life-cycle model; while it emphasizes hardware-oriented products, similar phases would describe any form of product or service, including non-technical or software-based products: [16]
Ad
related to: product life cycle vernon