Product Life Cycles and Diffusion Theory

Abstract

In the preceding chapter I endeavoured to establish the importance of innovation as a factor stimulating growth at both the macro-and micro-economic levels. While acceding that there may well be cause for concern over growth which results in the wasteful consumption of irreplaceable resources, it was argued that this is an insufficient reason for banning growth per se, and even less of an argument for discouraging innovation and new product development. In fact one might reasonably anticipate that concern with environmental pollution, the exhaustion of finite resources, greater product durability and reliability, etc., all of which tend to be subsumed within the general objective of ‘improving the quality of life’, may well stimulate even greater emphasis upon innovation and product differentiation as competitive strategies.