GDB # 2 MGT603 - Strategic Management
Tuesday, July 06, 2010 Posted In MGT Edit This
BCG MATRIX:
The below table illustrates that an organization is composed of four divisions with annual sales ranging from $15,000 to $70,000. Division 2 has the greatest sales volume while on the other hand division 4 has the lowest sales volume.
You have been also given market share and growth rate of each division. By developing the BCG Matrix on your rough paper, you have to only identify which division falls in which quadrant (stars, question marks, cash cows and dogs)?
Division Revenue Profits Market share Growth Rate
1 $50,000 $5,000 0.4 +10
2 $70,000 $11,000 0.8 +15
3 $30,000 $8,500 0.6 -20
4 $15,000 $1,000 0.05 -10
Total $165,000 $25,500
...........
ANSWER
1.Question mark
2. Star
3. Cash cow
4. Dog
Because ,
1-Question mark =(high growth,lowmarket share)
2-Star =(high growth ,high market share)
3-Cash cow =(lower growth, high market share)
4-Dog =(lower growth,lower market share)
..........
Division Revenues Profits Market share Growth Rate
1 $50,000 $5,000 0.4 +10 ? Mark
2 $70,000 $11,000 0.8 +15 Stars
3 $30,000 $8,500 0.6 -20 Cash Cows
4 $15,000 $1,000 0.05 -10 Dogs
Total $165,000 $25,500
............
High growth rate high market share
Stars 2
High growth rate low market share
Question marks 1
low growth rate high market share
cash cows 3
low growth rate low market share
dogs 4
....................
BCG MATRIX: The below table illustrates that an organization is composed of four divisions with annual sales ranging from $15,000 to $70,000. Division 2 has the greatest sales volume while on the other hand division 4 has the lowest sales volume.
You have been also given market share and growth rate of each division. By developing the BCG Matrix on your rough paper, you have to only identify which division falls in which quadrant (stars, question marks, cash cows and dogs)?
Division Revenues Profits Market share Growth Rate 1 $50,000 $5,000 0.4 +10 2 $70,000 $11,000 0.8 +15 3 $30,000 $8,500 0.6 -20 4 $15,000 $1,000 0.05 -10 Total $165,000 $25,500
...............
The below table illustrates that an organization is composed of four divisions with annual sales ranging from $15,000 to $70,000. Division 2 has the greatest sales volume while on the other hand division 4 has the lowest sales volume.
You have been also given market share and growth rate of each division. By developing the BCG Matrix on your rough paper, you have to only identify which division falls in which quadrant (stars, question marks, cash cows and dogs)?
Division Revenue Profits Market share Growth Rate
1 $50,000 $5,000 0.4 +10
2 $70,000 $11,000 0.8 +15
3 $30,000 $8,500 0.6 -20
4 $15,000 $1,000 0.05 -10
Total $165,000 $25,500
...........
ANSWER
1.Question mark
2. Star
3. Cash cow
4. Dog
Because ,
1-Question mark =(high growth,lowmarket share)
2-Star =(high growth ,high market share)
3-Cash cow =(lower growth, high market share)
4-Dog =(lower growth,lower market share)
..........
Division Revenues Profits Market share Growth Rate
1 $50,000 $5,000 0.4 +10 ? Mark
2 $70,000 $11,000 0.8 +15 Stars
3 $30,000 $8,500 0.6 -20 Cash Cows
4 $15,000 $1,000 0.05 -10 Dogs
Total $165,000 $25,500
............
High growth rate high market share
Stars 2
High growth rate low market share
Question marks 1
low growth rate high market share
cash cows 3
low growth rate low market share
dogs 4
....................
BCG MATRIX: The below table illustrates that an organization is composed of four divisions with annual sales ranging from $15,000 to $70,000. Division 2 has the greatest sales volume while on the other hand division 4 has the lowest sales volume.
You have been also given market share and growth rate of each division. By developing the BCG Matrix on your rough paper, you have to only identify which division falls in which quadrant (stars, question marks, cash cows and dogs)?
Division Revenues Profits Market share Growth Rate 1 $50,000 $5,000 0.4 +10 2 $70,000 $11,000 0.8 +15 3 $30,000 $8,500 0.6 -20 4 $15,000 $1,000 0.05 -10 Total $165,000 $25,500
...............
