Marketing Management

Submitted to:
Sir Hasnain Butt
Submitted by:
Taiba Mashkoor (01)

Program:
(MPA 3rd)

Session:
2019-21

Department of Political Science

The Islamia University of Bahawalpur
 BCG Matrix
BCG Matrix also known as the growth-share matrix is used by organizations
to classify their business units or products into 4 different categories: Dogs,
Stars, Cash Cows and Question Mark.

Growth rate of an industry and the market share of a respective business

relative to the largest competitor present in the industry are taken as the basis
for the classifications, for that reason, BCG Matrix is also called as Growth
share matrix.
 Dogs

These are the products with low growth or market share

These are low growth or low market share products and have very few
chances of showing any growth.The investment strategy for these products
has to be very well thought through by the management as there are
chances that these businesses might not yield any profit for the
organization. These business units or products are cash traps and therefore
are not seen as a useful source of earning.

Cash Cows

These are the products which are in low growth markets with high market
share. Products which are market leaders in their specific industry and their
industry is not expected to see any major growth in the future are
considered as Cash Cows. These products are the money churners for the
company and require very low investments to sustain their leadership and
profitability in the market.
Star

These are the products which are in high growth markets with a high market
share.

Products or Business Units which hold a high market share and are also
considered to grow in the future are positioned as Stars.

As a result, companies are interested to invest in developing these units

further to gain a larger market share and attain a stronger position in the
market.

These products have the potential of being positioned as cash cows in the
future owing to the industry growth prospects.

Question Mark

Products in high growth markets with a low market share.

Products or business units of the company that are still in the nascent stage of
their product lifecycle and can either become a revenue generator by taking
the position of a Star or can become a loss-making machine for the company
in the future.
The industry has high potential to grow hence giving the room to the products
to grow as well only if the pertinent issues are managed effectively.

BCG Matrix Analysis of Samsung

 Meaning  of SAMSUNG  is three staR which describes the vision of company to

become powerful and everlasting  like star in sky .SAMSUNG  electronic
company is a largest electronic producer in Asia. It operates in mainly four
division home appliances , information and technology , semiconductor and digital
media.

STAR: 
 
In this products in higher growth and higher market share. SAMSUNG develop
their product in the market to gain the larger market share and market growth and
maintain the stronger position in the market.
Mobile phones and tablets can be seen in star category, 

 SAMSUNG want to achieve their position as major phone supplier in

international market.
  With the change in technology, SAMSUNG manufactures the new mobile
phones adding new feature to attract the target market like SAMSUNG
galaxy note 8 and galaxy S created the strong brand value
 Samsung plasma tv also star for companies, investment in smart tv can
become source of long-term profit

QUESTION MARK: 
 
Some of  SAMSUNG product are still in that phase of development which a low
market share but high demand for that product 
like SAMSUNG PRINTER, printer has higher demand in the market but in case of
Samsung printer it can remain at the position of a question mark.
Also, Galaxy 7 has gained negative image due to battery overheated.

DOG: 

 In this product has less cash usage and less cash generation which mean both the
market share and market growth are lower.  This is the declining stage, 

 SAMSUNG TV business decline due to small demand from various

countries. 
 SAMSUNG WATCH  is not able to gain attention from a customer and
higher competitor is APPLE watch.

CASHCOW

  In this product is in low growth market with high market share this is also
called mature stage of business, return on investment is high but slow expansion
indicate the lower market share.

 SAMSUNG HOME APPLIANCES, company sells home appliance in different

region and reach in global market, but due to low creativity and doesn't offer the
latest technology result in low market share which is in cash cow class,
 CONCLUSION

 Every business adopts the strategic planning and sees their product and service in
a different stage that is high or low and take the decision whether to invest in this
product or not. BCG matrix can be classified   into mainly four class with high
market share and high market growth, 

MILK THE COW, DON’T WASTE MONEY ON DOG, INVEST IN STAR AND
GIVE QUESTION MARK SOME EXPERIMENT FUND TO SEE IF THEY
CAN BECOME STAR.