The makers of Bubbas cereals begins to sell its products in new markets after conducting extensive marketing research. After the cereal begins to appear in these new markets, the company increases its promotion expenditure to counteract competitive responses. Bubbas is in the stage of the Product Life Cycle.

growth

Explanation: The growth stage of a product's life cycle is marked by increase in demand and hence rise in revenue generated by such product. At this stage of product life cycle, the product seems to have gained or won the heart of consumers. The growth stage is usually experienced after extensive market research and launch of a product. Once it gains the attention or popularity among consumers, revenue increases and the need to raise expenditure for promotional purposes arises so as to gain firm attention and shrug off competition from similar products.

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