The product life cycle is the amount of time a product goes from being introduced into the market until it's taken off the shelves. There are four stages in a product's life cycle”introduction, growth, maturity, and decline.Stage 1 IntroductionIn this stage, a new product is launched in a target market where the intended consumers are not well aware of its presence.Customers who acknowledge the presence of the product may be willing to pay a higher price in the greed to acquire high-quality goods or services. With this consistent change in manufacturing methods, production completely relies on skilled laborers.Competition at the international level is absent during the introduction stage of the international product lifecycle. Competition comes into the picture during the growth stage when developed markets start copying the product and sell it in the domestic market.These competitors may also transform from being importers to exporters to the same country that once introduced the product.Stage 2 GrowthAn effectively marketed product meets the requirements of its target market. The exporter of the product conducts market surveys, analyze and identify the market size and composition. At this stage, the competition is still low.Sales volume grows rapidly in the growth stage. This stage of the product lifecycle is marked by fluctuating increases in prices, high profits, and promotion of the product on a huge scale.Stage 3 MaturityIn this level of the product lifecycle, the level of product demand and sales volumes increase slowly.Duplicate products are reported in foreign markets marking a decline in export sales. In order to maintain market share and accompany sales, the original exporter reduces prices.There is a decrease in profit margins, but the business remains tempting as sales volumes soar high.Stage 4 DeclineThis is the final stage of the product lifecycle. In this stage sales volumes decrease and many such products are removed or their usage is discontinued. The economies of other countries that have developed similar and better products than the original one export their products to the original exporter's home market.This has a negative impact on the sales and price structure of the original product. The original exporter can play a safe game by selling the remaining products at discontinued items' prices.Therefore, the correct match is:List I(International product lifecycle stage)List II(International competition)a.Introductioni.A few competitors at home b.Growthii.Competitors in other high-income countries begin production for their domestic marketsc.Maturityiii.Companies from other high-income countries increase exports to the innovating countryd.Declineiv.Competitors from other high-income countries may begin production in developing countriesHence Option1 is correct.