Question

Tesseract Inc. launched a range of small toy cars which, became extremely popular within days of its release. Customers queued up to buy the cars and stores ran out of stock rapidly. However, in a few months, demand for the product started to decline and the company soon discontinued production of the range. Based on the product life cycle curve of the product, the product can be identified as a:

Answer 1

fad product.

Step-by-step explanation:

Fad -

It is the product , which has very less or limited utility , but is responsible for a very immediate increase in the sale and publicity , but it is immediately followed by reduction in the price and publicity , is known as a fad product .

Hence , as given in the question , the sale of the small toy cars increases rapidly and gained extreme popularity but within few months , the demand of the car drop down .