The BCG Matrix (aka Boston Matrix) is a popular tool which can help a business analyze its portfolio. Understanding cash flow is key to making the most of the BCG matrix. To apply the BCG Matrix you can think of it as showing a portfolio of products or services, so it tends to be more relevant to larger businesses with multiple services and markets. The Boston Consulting Group Matrix, also often termed as the BCG matrix is a popular corporate tool that is used for easy portrayal of the brand’s portfolio in the form of a quadrant representation. Consider Samsung, a globally renowned company operating in the electronics industry to better understand the placement of your products with BCG Growth-Share Matrix examples. The role of cash flow in the matrix. In this case, data has … In 1968, BCG founder Bruce Henderson noted that … #1 – Question Marks or Problem Child – Products in High Growth Markets with Low Market Share. A portfolio simply means the range of products sold by a business.

Description This video will teach you start to finish, step by step, how to create your BCG Matrix in Excel. The horizontal axis depicts the relative market share axis while the vertical axis showcases the speed of market growth. No business has an infinite supply of money to invest. As the name suggests, these products are a question mark in the entire portfolio. “The BCG Growth-Share Matrix is a portfolio planning model developed by Bruce Henderson of the Boston Consulting Group in the early 1970s. BCG Matrix is a simple tool and you basically need accurate calculations on the market share and growth rate of your products, service or investment. To start with you need some data.

So, when a business has a portfolio of products it … Creating BCG Matrix of your business portfolio. The growth share matrix, created in 1968 by BCG's founder Bruce Henderson, is a framework that helps companies decide how to prioritize their different businesses.

How to use the BCG Matrix?

Learn more about the growth share matrix and how it works at BCG.com.

While it is easier to assess market growth, what is important is to objectively derive at the market share data. However, marketers in smaller businesses can use similar portfolio thinking to their products or services to boost leads and sales as we'll show at the end of this article.