Name and Roll No.

- Abhishek Bolli -
Ashish Dhumal -
Tejas A. Shinde - 45
Vinit N. Mehta – 20
Class – T.Y.B.B.A.(I.B.)

Subject – Business Reporting and Analysis

Topic – BCG Matrix

INTRODUCTION:-

The BCG matrix, also known as a growth/share The table would look like:-
matrix, is a business tool that you can use to help you
create strategic, long-term plans regarding investment
in competitiveness and market attractiveness. It is a
framework for portfolio management that allows you
to prioritize different products.

You can write a BCG matrix as a table that is divided

into four parts, each of which represents a particular
product or business, with a vertical axis that
represents growth and a horizontal axis that represents
market share.
STARS:-

Products that are in high growth markets and that

make up a sizable portion of that market are
considered “stars” and should be invested in more.

In the upper left quadrant are stars, which generate

high income but also consume large amounts of
company cash. If a star can remain a market leader,
it eventually becomes a cash cow when the market's
overall growth rate declines
QUESTION MARKS:-

In the upper right portion of the grid. Typically grow

fast but consume large amounts of company
resources. High Growth, Low Share. Companies
should invest in or discard these “question marks,”
depending on their chances of becoming stars.

Products - should be analysed frequently and closely

to see if they are worth maintaining. Potential to
gain market share and become a star and eventually
a cash cow when the market growth slows
CASH COWS:-
Cash Cows represents business units having a large
market share in a mature, slow growing industry.
Cash cows require little investment and generate
cash that can be utilized for investment in other
business units.

These SBU’s are the corporation’s key source of

cash, and are specifically the core business. They are
the base of an organization. These businesses
usually follow stability strategies. When cash cows
loose their appeal and move towards deterioration,
then a retrenchment policy may be pursued.
DOGS:-
A low market share indicates the product is less
competitive. And, the company posted low sales.
They prefer competitors’ products because they are
better, for example, because they are cheaper, more
unique, or even because of superior customer
service.

Dogs generally have a low gain. Low market share

means the company sells fewer goods and generates
less revenue. Production capacity is less optimal due
to low sales volume. As a result, the company must
bear a higher unit cost than competitors.
CONCLUSION:-

Taken these variables together, you can attract the

perfect way to follow the BCG Matrix, from start-
up to market pioneer. Question Marks and Stars
should be financed with ventures produced with
Cash Cows. What's more, Dogs should be stripped
or exchanged to let loose cash with minimal
potential and use it somewhere else. At long last,
you will require a reasonable arrangement of
Question Marks, Stars, and Cash Cows to
guarantee positive cash streams later on.