Elements of Boston Consulting group growth-share matrix:
Products or companies positioned in matrix in relation to their stage in life-cycle
Principle:
Cash cow – milk and redeploy the cash flow
Dog – liquidate or divest and redeploy
Star – strengthen competitive position in growth industry
Question – invest as appropriate to secure and improve competitive position
Issues:
Actions of competitors
Industry involved
“manage cash-cows for growth”, innovate new uses, Hamersmesch, 1986
Applications:
Create insight into cash needs and potential for earnings
Source of Boston Consulting group growth-share matrix:
(Stern and Deimler, 2006)
Related Models & Sources:
The Experience Curve – Reviewed, Bruce D. Henderson, BCG