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Application of BCG Matrix

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The BCG matrix on two divisions of your company - the appliance and electronics divisions. It appears that the electronics division can be located in the upper right quadrant of the matrix and the appliance division appears in the lower left quadrant of the matrix. You need to offer a strategic recommendation based on these findings. Include an opinion on how much reliance the company should have on these findings, what these findings suggest, what recommendations you would make, and what other measurements should be used to help reinforce or negate these findings. Support your answer.

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You have been given the BCG matrix on two divisions of your company - the appliance and electronics divisions.

It appears that the electronics division can be located in the upper right quadrant of the matrix and the appliance division appears in the lower left quadrant of the matrix.

You need to offer a strategic recommendation based on these findings.

Include an opinion on how much reliance the company should have on these findings, what these findings suggest, what recommendations you would make, and what other measurements should be used to help reinforce or negate these findings.

4-5 paragraphs Support your answer with references.

BCG MATRIX AND STRATEGIC MANAGEMENT
B.C.G. analysis is a technique used in brand marketing, product management, and strategic management to help a company decide what products to add to its product portfolio. BCG MATRIX helps in determining the product portfolio strategy of the organization. It leverages the knowledge of the corporation to optimally utilize the resources. Resources are channelized in the right direction by appropriate product strategy.
The BCG matrix method is based on the product life cycle theory that can be used to determine what priorities should be given in the product portfolio of a business unit. It involves rating products according to their market share and market growth rate. The products are then plotted on a two dimensional map to ensure long-term value creation, a company should have a portfolio of products that contains both high-growth products in need of cash inputs and low-growth products that generate a lot of cash.
It has two dimensions: market share and market growth. The basic idea behind it is ...

Solution Summary

This explains the concept and application of BCG matrix elaborated by a practical case study

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