Ask a question from expert

Ask now

Boston Consulting Group Model Categories

5 Pages752 Words128 Views

Added on  2020-02-18

Boston Consulting Group Model Categories

   Added on 2020-02-18

BookmarkShareRelated Documents
Running head: MARKETING AND MANAGEMENTMarketing and ManagementName of the StudentName of the UniversityAuthor note
Boston Consulting Group Model Categories_1
1MARKETING AND MANAGEMENTBoston Consulting Group Model categoriesBoston Consulting Group Model (BCG Model) is a portfolio planning model that isfounded on the deduction that a company’s business units could be characterized into fourcategories:Question MarksStarsCash CowsDogs1.Dogs – These products hold a low market share or possess and low growth in the market.Generally, they are of no use investing as the generate low cash returns. However, somedogs might be profitable if continued for a long period of time. Thus it is important thatdeeper analysis is performed of each brand or SBU for ensuring they are unsuitable forinvestment or needs to be divested (Stern and Deimler 2012).Strategic choices: liquidation, divestiture, retrenchment2.Cash cows – Cash cows contain the most productive brands and they need to be “milked”so that as much cash can be extracted from them possible. These products play in lowgrowth markets but possess high market share. Corporates must invest in cash cows forinducing growth and supporting them in continuing their current market share (Kiron etal. 2013).Strategic choices: divestiture, retrenchment, diversification, product development
Boston Consulting Group Model Categories_2

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Developing a Strategy for ELIVISA Company using BCG Matrix

Business Strategy & Consumer Behavior - Desklib

Presentation Evaluation Analysis 2022

Planning for Growth: Strategies and Funding for Shoreditch Grind

Entrepreneurial Strategy - The Little One Coffee Shop

Strategy and Innovation: Analysis of Virgin Group Case Study