9609 · 3.3.3
Product portfolio analysis
9609 AS — Boston Matrix (BCG): stars, cash cows, question marks, dogs, and portfolio decisions.
Need to know
What you need to know
- Product portfolio analysis helps businesses manage their range of products strategically.
- The Boston Matrix is the key tool, using relative market share and market growth rate as its axes.
- The ultimate goal is to achieve a 'balanced portfolio' by making informed decisions on resource allocation.
- It helps to identify the current strategic position of each product within the business's portfolio.
Explanation
Product portfolio analysis
- Product portfolio analysis helps businesses manage their range of products strategically.
- The Boston Matrix is the key tool, using relative market share and market growth rate as its axes.
- The ultimate goal is to achieve a 'balanced portfolio' by making informed decisions on resource allocation.
- It helps to identify the current strategic position of each product within the business's portfolio.