Mature Firm

Mature Firm

A company that is well-established in its industry, with a well-known product and loyal customer following with average growth. Mature firms are categorized according to the business stage it is currently in. These types of firms have passed the stage of rapid growth and tend to grow at the same rate as the overall economy. They also tend to have several equally well-established competitors, making price competition a significant factor in their ability to increase profits.

Businesses are usually thought of as going through between four to eight phases. For example: Idea, emerging/startup, growing, expanding, mature and finally declining. The stocks of mature firms often pay dividends because the companies are past the point of needing to reinvest all their profits in the company, like they did when it was growing rapidly. Coca-Cola, Pepsi Co., Johnson & Johnson and Procter & Gamble are examples of mature firms. They have been around for many years and sell products that consumers use on a regular basis, but they also face ongoing, significant competition.


Investment dictionary. . 2012.

Игры ⚽ Поможем написать реферат

Look at other dictionaries:

  • Mature — To cease to exist; to expire. The New York Times Financial Glossary * * * ▪ I. mature ma‧ture 1 [məˈtʆʊə ǁ ˈtʊr] verb [intransitive] 1. FINANCE if a financial arrangement such as a bond or an insurance policy matures, it becomes ready to be paid …   Financial and business terms

  • mature — To cease to exist; to expire. Bloomberg Financial Dictionary * * * ▪ I. mature ma‧ture 1 [məˈtʆʊə ǁ ˈtʊr] verb [intransitive] 1. FINANCE if a financial arrangement such as a bond or an insurance policy matures, it becomes ready to be paid: • The… …   Financial and business terms

  • Life Cycle — The course of events that brings a new product into existence and follows its growth into a mature product and into eventual critical mass and decline. The most common steps in the life cycle of a product include the following phases: •… …   Investment dictionary

  • Ceratopteris thalictroides — Water Hornfern Ceratopteris thalictroides, showing typical above water foliage Scientific classification Kingdom …   Wikipedia

  • India — /in dee euh/, n. 1. Hindi, Bharat. a republic in S Asia: a union comprising 25 states and 7 union territories; formerly a British colony; gained independence Aug. 15, 1947; became a republic within the Commonwealth of Nations Jan. 26, 1950.… …   Universalium

  • performing arts — arts or skills that require public performance, as acting, singing, or dancing. [1945 50] * * * ▪ 2009 Introduction Music Classical.       The last vestiges of the Cold War seemed to thaw for a moment on Feb. 26, 2008, when the unfamiliar strains …   Universalium

  • Computers and Information Systems — ▪ 2009 Introduction Smartphone: The New Computer.       The market for the smartphone in reality a handheld computer for Web browsing, e mail, music, and video that was integrated with a cellular telephone continued to grow in 2008. According to… …   Universalium

  • History of private equity and venture capital — The history of private equity and venture capital and the development of these asset classes has occurred through a series of boom and bust cycles since the middle of the 20th century. Within the broader private equity industry, two distinct sub… …   Wikipedia

  • literature — /lit euhr euh cheuhr, choor , li treuh /, n. 1. writings in which expression and form, in connection with ideas of permanent and universal interest, are characteristic or essential features, as poetry, novels, history, biography, and essays. 2.… …   Universalium

  • Media and Publishing — ▪ 2007 Introduction The Frankfurt Book Fair enjoyed a record number of exhibitors, and the distribution of free newspapers surged. TV broadcasters experimented with ways of engaging their audience via the Internet; mobile TV grew; magazine… …   Universalium

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”