Business Portfolio and Dynamic Capability Development Report

Business Portfolio and
Dynamic Capability
Development Report

Introduction
Business portfolio is the systematic way for analyzing the goods and services
which develop an association's business portfolio. This is a company set of
investments, products, holdings, businesses and brands.
Fantasy Film is the digital animation studio which are mainly specialized in
animated feature films, special effects, digital animation software and
animated advertising given to the live action films. An organization has
production service in the Brisbane, San Francisco and Los Angeles which
remain controlled by the company senior members.

BCG Matrix
?Relative
Market
Share
Market
Growth
Rate
BCG Matrix is a model used for analysing
products according to growth share and market
share. This model was designed to interpret role
of products in future markets and growth so that an
organization get easy to know that in which
business unit they have to invest in. This matrix is
based on 4 grids which shows relative growth and
market share of 4 business units of Fantasy Film.

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These are:
Star: A strategic business unit can be considered as Stars when they have high
relative growth and market share.
Cash Cows: Business units that have high market share but low growth rate, are
considered to be as cash cows.
Question Marks: Business units that have small market share and high growth
rate are considered to be as question marks.
Dogs: Business units that have low growth and market share are to be
considered as dogs.

GE-McKinsey Matrix
Gro
wth
Competitive strength
of business unit
Hig
h
Med Low
Indust
ry
attract
ivenes
s
H
i
g
hM
e
d
L
o
w
Gro
wth
Harv
est
Selectiv
e
Harv
est
Harv
est
Selectiv
e
Selectiv
e
Gro
wth
GE-McKinsey Matrix is a technique that
offers a balanced approach for organisations
having multiple business corporation to
analyse their investment plan for different
business units. This matrix is explained as a
framework that includes business portfolio,
and give direction for strategic planning of
development, growth and their investment.

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The allotment of resources on the matrix will give three proposals to the
organization to make further decisions:
Grow/Invest- Products with high market share and high returns in future are
kept in this section. It will always profitable for an organization to invest in
these units.
Hold/Selective- In this section, those units or products are kept which don't
have large market share and organizations should make selective investment in
these products.
Harvest/Divest- Products under this sections are of no profit or no use for the
organization and must be liquidate or divest soon. These products acts like cost
to company and do not generate any profit to the organization