Cite JOURNAL ARTICLE
The product-cyecle revisited: Some extensions and clarifications
Journal of Contextual Economics – Schmollers Jahrbuch, Vol. 111 (1991), Iss. 1 : pp. 27–54
The following revisions of standard product-cycle theory are proposed:
(1) "New" and "old" are not alternatives but points within a broad spectrum.
(2) Firms can innovate everywhere.
(3) Innovative entrepreneurs are more likely to exist'and to become stimulated in agglomerations.
(4) The transfer of mature goods to the periphery is no mechanical process but needs innovative entrepreneurs as well.
(5) Firms and politicians try to prevent the transfer of goods away from the agglomeration, so lowering the pressure to innovate and impeding the regional product cycle from both sides.
(6) Ricardo-, Loesch- and Thuenen goods do not follow a product cycle.