4: Post-Maturity - Features and Challenges

Three ways: 

Steady State (nothing much changes—remain in maturity).

Decline occurs when a business is losing sales to rivals due to improved quality offerings, lower cost structures of rival firms, product mix outdated, reputational damage, lack of new product development to replace aging offerings. 

It is challenging to turn a declining business around. There are lower revenues at a time when expenditure is increasing (to finance the turnaround) and a reluctance of investors to buy into a ‘sinking ship’ to fund the turnaround.

Renewal occurs when a firm finds proactive new ways to create value for customers, generating more revenue. 

New adaptations to product mix, entering new markets, capturing more value in the supply chain (buying suppliers), can all lead to renewal and growth.