Final answer:
While profits often increase during the maturity stage of a product life cycle due to established market presence and economies of scale, this is not guaranteed as factors like competition and market saturation can impact profitability.
Step-by-step explanation:
Profits often increase during the maturity stage of the product life cycle because companies have established their products in the market, achieved economies of scale, and have a clearer understanding of their customer base. However, this is not always true and can be influenced by various factors, including increased competition, market saturation, and changes in consumer preferences. Therefore, the statement 'Profits increase during the maturity stage of the product life cycle.' is not universally true or false as it is highly dependent on the industry context and company strategy.