Developed in the 1970s by an American consulting firm, a company's BCG matrix is a graphical representation used to analyze a company's long-term strategy.
Based on the product sales cycle, the BCG matrix divides items into four quadrants: dog, cow, star and question mark product.
From this, it is able to identify growth and investment opportunities, as well as showing which products could be withdrawn from the market.
To deepen your knowledge on the mexico phone number lookup subject, we have prepared this article with everything you need to know to create the best BCG matrix examples .
Summary
The BCG Matrix is a strategic tool that allows the analysis of a company's business portfolio based on two dimensions: market growth rate and market share.
It is related to the product life cycle, dividing it into four stages: Introduction, Growth, Maturity and Decline.
The BCG Matrix helps companies allocate resources more effectively, assess the balance of their product portfolio, and improve their market share. It is also a simple and useful tool for strategic decision-making.
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In this article you will learn:
What is a company's BCG matrix?
How to relate the BCG Matrix and the product life cycle?
Dog, cow and star product: what does this mean?
Examples of BCG matrix
Coca Cola Apple
Samsung
McDonald's
What is a company's BCG matrix?
A company's BCG matrix is a strategic matrix, created by the consulting firm Boston Consulting Group in 1968. Also known as the growth-share matrix , it allows a strategic analysis of an organization's business portfolio based on those two dimensions.
These dimensions are also closely related to the product life cycle. Therefore, it is important to know the definition of each stage and analyze it from the perspective that crosses the BCG matrix and the product life cycle stages, as we will see below.
Do you want to discover your company's strengths and weaknesses? We recommend reading: How to do a SWOT analysis and plan successful strategies for your business .