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Bcg Matrix

Boston Consultancy Group (BCG Matrix)
This product portfolio matrix classifies product lines into four categories. The BCG
models suggests that organisations should have a healthy balance of products within their
range. The Boston Consultancy Group classified these products as following:

Dogs
These are products which have low market shares and low market growth rates. The
options for many companies is to phase these products out, however some organisation
do go for the strategy of re-inventing and injecting new life into the product. (see Heinz
Case Study)
Question Mark/Problem Child
These are products with low market share but operate in high market growth rates. The
company puts a lot of resources in this product in the hope that it will eventually increase
market share and generate cash returns in the future.

Star
Stars have high market shares that operate in growing markets. The product at this stage
should be generating positive returns for the company.

Cash Cow
Cash Cow are products at the mature stage of the lifecycle, they generate high amounts of
cash for the company, but growth rate is slowing. There are chances that the product may
slip into decline, appropriate marketing mix strategies should be employed to try to
prevent this from happening.B.C.G. analysis
It has been suggested that this article or section be merged into Growth-share matrix.
(Discuss)
B.C.G. analysis is a technique used in brand marketing, product management, and
strategic management to help a company decide what products to add to its product
portfolio. It involves rating products according to their relative market share and market
growth rate. The products are then plotted on a two dimensional map. Products with high
market share but low growth are referred to as "cash cows". Products with high market
share and high growth are referred to as "stars". Products with low market share in a low
growth market are referred to as...