Consumer Preference, Product Innovation, the Product Life-Cycle Pattern
Despite much research on the product life cycle (PLC), little research was done on the determinants of the PLC patterns from the point of view of customer behavior and product innovation. Therefore, this study extends previous research on the product life cycle to answer the following question what are the effects of consumer preferences and product innovation on the product life-cycle patterns? In order to answer this question, this study surveys a convenience sample of 627 subjects in Taiwan by a self-developed questionnaire and adopts the multinomial logit model to analyze the sample data. The empirical results are showed as belowï¼š (1) The higher the level of customersâ€™ preferences for functions of product was, the more probability the shape of product life cycle was â€œthe innovation-ripe patternâ€. (2)The higher the level of product innovation was, the more probability the shape of product life cycle was â€œthe classical-patternâ€. (3)The higher the level of interaction between product innovation and customersâ€™ preferences for economy of product, the more probability the shape of product life cycle was â€œthe cycle-recycle patternâ€.
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