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consumer durables in a heterogeneous social system. A major growth driver of new products is consumer heterogeneity which claims that the population is heterogeneous in innovativeness, price sensitivity and needs, leading to heterogeneity in propensity to adopt. (Song and Chintagunta, 2003; Golder and Tellis,1998).

Based on the diffusion theory, three turning points emerge in the PLC influencing the shape of the curve. These are : takeoff - at the beginning , saddle - during early growth, and technological substitution - at the later stages of growth. Golder and Tellis (1997) using the proportional hazard model have defined takeoff time as the time at which a dramatic increase in sales occurs that distinguishes the cutoff point between the introduction and growth stages. While takeoff does not require any consumer interactions, the acceptance rate depends on price sensitivity, probability of failure , competitive advantage and ease of availability.

Heterogeneity influences the stage prior to takeoff, while consumer interactions impact the succeeding stage (as shown in Exhibit 2). Following takeoff, the classic diffusion model predicts an increase in sales; however, in some markets, the increase might not follow this trend, and a chasm or dip in sales may occur after an initial rise (Moore,1991) followed by sales that eventually exceed the initial peak ( shown in Exhibit 3). The diffusion process ends when the market potential is saturated. In practice, however, products are substituted with advanced products and next technological generations . This may not always be correct, as in the case of analog phones, where both generations coexisted with analog subscribers continuing to increase long after digital technologies became available. With time, as buyer's familiarity with a product increases, there is more emphasis on price and reduced impact of consumer interactions (as shown in Exhibit 2).

Exhibit 3 : Turning points in the product life cycle (Name of Journal, Author, Year)
Disruptive Innovation Techniques and their Impact on PLC :
In his disruptive innovation model, Clayton Christensen describes how competitors with simpler technologies or service offerings create vulnerabilities for mature brands who have added a multitude of features to the base product (Moon , 1995) . Exhibit 4 shows how companies have manipulated the PLC by altering product positioning to the growth phase or by redefining category boundaries. IKEA used a combination of reverse positioning by combining a basic offering with smart marketing (through a novel store experience ) to escape the PLC and targeting a new customer category . Jet Blue and Ryan Air have used simplicity , transparent pricing and a no frills approach to create loyal brand ambassadors and a unique market positioning (Moon , 1995 ). Products can prolong their life by manipulating PLC stages or by altering the marketing mix and product positioning. Swatch is a prime example of how Swiss watches sold as jewellery were repositioned as affordable fashion accessories. Swatch thus revived the product growth and created a new sub category. In technology products and services where time to market is key, Apple Mac Mini changed consumer resistance and accelerated its move from introduction to maturity stage by orchestrating an alternate market positioning strategy (Moon, 1995).

Exhibit 4: PLC and Smart Marketing Repositioning of P