Research Reports from the Department of Operations

Document Type

Dissertation

Publication Date

1-1-1975

Abstract

This study evaluates the validity of the product life cycle (PLC) concept for industrial products and explores its relationship to product innovation. Focusing on steering gears for heavy-duty trucks and farm machinery, the research refines and applies the PLC model, traditionally used for consumer goods, to industrial settings. Findings demonstrate three distinct life cycle forms—innovative maturity, growth maturity, and decline maturity--each influenced by the degree of product innovation. Using discriminant analysis, the study confirms a link between PLC stages and innovation, revealing that highly innovative products have greater sensitivity to discount factors in sales forecasting. Strategic insights include the advantage of targeting progressive customer firms to accelerate innovation adoption. The study concludes by discussing marketing resource allocation across different PLC forms and offers methodological recommendations for future research.

Keywords

Operations research, Product life cycle, Industrial management, Heuristic algorithms, Technological innovations--Management, Steering-gear, Trucks--Parts, Farm equipment, Discriminant analysis, Pattern recognition systems, Marketing research--Methodology, Business forecasting

Publication Title

Dissertation/Technical Memorandums from the Department of Operations, School of Management, Case Western Reserve University

Issue

Technical memorandum no. 372 ; Submitted in partial fulfillment of the requirements for the Degree of Doctor of Philosophy.

Rights

This work is in the public domain and may be freely downloaded for personal or academic use

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