Implementation of the Product Life Cycle Concept in Private Label Management: Focus on the Growth Stage

Abstract

The purpose of this paper is to study the relationship between private label management and the growth stage of the product life cycle concept (PLC), in the context of developing private label market. The study relies on qualitative methodology, i.e. its findings are based on 16 in-depth interviews with experts in the field of private label management. In order to achieve dual perspective experts were representatives from retailer and manufacturer companies. The research findings support the assumption that general principles of the PLC concept are implemented in the private label management. The main contribution stems from the finding that developing market follows the same private label development principles like developed markets in the growth stage of the PLC. The findings can help managers from developing markets to understand how to successfully manage private labels by focusing on their quality and promotion and how to use private labels to achieve higher level of consumers’ satisfaction.