Stars are company products sold in high growth markets with large company market share.The Matrix classifies and displays corporate business units within four quadrants: Each dimension consists of two degrees – high and low. The Matrix provides a two-dimensional view, including market growth rate and relative market share. The Growth-Share Matrix appears to be the analysis tool of choice! Today’s executive cadre requires a simple and user-friendly tool to continually evaluate business unit product portfolios in a structured and systematic manner. Harvard Business Review named the BCG Matrix one of the frameworks that changed the world!Īlmost 50 years after the creation of the BCG Matrix, the original hypothesis is very much alive and accepted in corporate business and market analyses circles. The Matrix has proven to be effective in helping executive teams assess and make decisions in allocating resources, supporting a company’s product and service portfolio. The Matrix provides a structured and user-friendly platform for analyzing a company’s multiple business units or as the parent company, holding numerous businesses, to categorize and evaluate growth and market share. The Growth-Share Matrix s a strategic business analysis tool, created by Boston Consulting Group in 1970, and popularly k nown as BCG Matrix.
