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Updated On: 6th March 2020 04:38:54 AM


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  • BCG matrix used to evaluate –

1. Whether a product should be withdraw from market or not.
2. Which product should be hold ?
3. Which product should be include in product portfolio ?
4. What should be the amount of investment on a product ?

  • A company should have product portfolio of different growth rates and market share.
  • It aims to evaluate each product on the basis of Market share and Market growth


  • Cash cows are those products which have High market share and Low growth rate.
  • Cash cow is those products which generate maximum revenue because of high market share.
  • Strategy for cash cows –

1. Cash cow products require minimum investment.
2. Business should hold cash cow products.


  • Stars are those products which have High market share and High growth rate.
  • Stars are the best products of the company.
  • Stars can become cash cow in long run.
  • Strategy for stars –

1. Stars require maximum investment.
2. All types of marketing, sales promotion, advertisement used for stars.
3. Business should hold stars products.


  • Question mark are those products which have Low market share and High growth rate.
  • Generally question mark is newly launched products.
  • Question mark products may give high return but the same it may be flop.
  • Because of uncertainty these products are called “question marks”.
  • Strategy for question mark is It requires mere investment.


  • Dogs are those products which have Low market share and Low growth rate
  • These products not generate high revenue.
  • Strategy for dogs are-

1. It is not require high revenue.
2. Business should divest these products or remap it.


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