- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10
- 11
- 12
- 13
- 14
- 15
- 16
- 17
- 18
- 19
- 20
- 21
- 22
- 23
- 24
- 25
- 26
- 27
- 28
- 29
- 30
- 31
- 32
- 33
- 34
- 35
- 36
- 37
- 38
- 39
- 40
BCG Matrix and VRIO Framework for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT
Posted by Sophia Morgan on Jul-30-2018
BCG Matrix
The BCG matrix is a strategic management tool that was created by the Boston Consulting Group, which helps in analysing the position of a strategic business unit and the potential it has to offer. The matrix consists of 4 classifications that are based on two dimensions. These first of these dimensions is the industry or market growth. The other of these dimensions is the relative market share of the strategic business unit. Strategic business units are placed in one of these 4 classifications. The BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT will help decide on the strategies that can be implemented for its strategic business units.
Strategic business units with high market growth rate and high relative market share are called stars. Businesses should invest in their stars and can implement vertical integration, market penetration, product development, market development, and horizontal integration strategies. Strategic business units with high market growth rate and low relative market share are called question marks. These strategic business units require close considerations whether the business should continue with them or divest. Strategic business units with low market growth rate but with high relative market share are called cash cows. The business should invest in these to maintain their relative market share. Lastly, the strategic business units with low market growth rate and low relative market share are called dogs. The business should divest these strategic business units.
BCG Matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT
The BCG Matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT will help IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT in implementing the business level strategies for its business units. The analysis will first identify where the strategic business units of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT fall within the BCG Matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT.
Stars
- The financial services strategic business unit is a star in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. It operates in a market that shows potential in the future. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT earns a significant amount of its income from this SBU. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT should vertically integrate by acquiring other firms in the supply chain. This will help it in earning more profits as this Strategic business unit has potential.
- The Number 1 brand Strategic business unit is a star in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT, and this is also the product that generates the greatest sales amongst its product portfolio. The potential within this market is also high as consumers are demanding this and similar types of products. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT should undergo a product development strategy for this SBU, where it develops innovative features on this product through research and development. This will help IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT by attracting more customers and increases its sales.
- The Number 2 brand Strategic business unit is a star in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT as IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has a 20% market share in this category. It also the market leader in this category. The overall category is expected to grow at 5% in the next 5 years, which shows that the market growth rate is expected to remain high. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT should use its current products to penetrate the market. This could be done by improving its distributions that will help in reaching out to untapped areas. This will help increase the sales of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT.
Cash Cows
- The supplier management service strategic business unit is a cash cow in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This has been in operation for over decades and has earned IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT a significant amount in revenue. The market share for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is high, but the overall market is declining as companies manage their supplier themselves rather than outsourcing it. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to stop further investment in this business and keep operating this strategic business unit as long as its profitable.
- The Number 3 brand strategic business unit is a cash cow in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This is an innovative product that has a market share of 25% in its category. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is also the market leader in this category. The overall category has been declining slowly in the past few years. IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has the power to influence the market as well in this category. It should, therefore, invest in research and development so that the brand could be innovated. This will help the category grow and will turn this cash cow into a star. The overall benefit would be an increase in sales of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT.
- The international food strategic business unit is a cash cow in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This business unit has a high market share of 30% within its category, but people are now inclined less towards international food. This change in trends has led to a decline in the growth rate of the market. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to invest enough to keep this strategic business unit under operations. If it no longer remains profitable and turns into a dog, then IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT should divest this strategic business unit.
Question Marks
- The local foods strategic business unit is a question mark in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. The recent trends within the market show that consumers are focusing more towards local foods. Therefore, this market is showing a high market growth rate. However, IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has a low market share in this segment. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to invest in research and development to come up with innovative features. This product development strategy will ensure that this strategic business unit turns into a cash cow and brings profits for the company in the future.
- The Number 4 brand strategic business unit is a question mark in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This strategic business unit is a part of a market that is rapidly growing. However, this strategic business unit has been incurring losses in the past few years. It has also failed in the attempts made at innovation by research and development teams. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to divest and prevent any future losses from occurring.
- The confectionery strategic business unit is a question mark in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. The confectionery market is an attractive market that is growing over the years. However, IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has a low market share in this attractive market. The low sales are as a result of low reach and poor distribution of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT in this segment. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to undergo market penetration, where it pushes to make its product present on more outlets. This will ensure increased sales for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT and convert this strategic business unit into a cash cow.
Dogs
- The plastic bags strategic business unit is a dog in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This strategic business unit has been in the loss for the last 5 years. It also operates in a market that is declining due to greater environmental concerns. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to divest this strategic business unit and minimise its losses.
- The Number 5 brand strategic business unit is a dog in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. This is operating in a market segment that is declining in the past 5 years. The company also has negative profits for this strategic business unit. However, it is expected that the market will grow in the future with environmental changes that are occurring. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to invest in the business enough to convert into a cash cow. This will ensure profits for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT if the market starts growing again in the future.
- The synthetic fibre products strategic business unit is a dog in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. The market for such products has been declining, and as a result of this decline, IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has been facing a loss in the past 3 years. The market share for it is also less than 5%. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to divest this strategic business unit to minimise any further losses.
- The artificially flavoured products strategic business unit is a dog in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT. These products were launched recently, with the prediction that this segment would grow. However, with increasing health consciousness, people are now refraining from consumption of artificial flavours. The market is shrinking, and IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT has no significant market share. The recommended strategy for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT is to call back this product.
Some of the strategic business units identified in the BCG matrix for IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT have the potential of changing from their current classification. For example, a dog changing to a cash cow. These have been identified in the BCG matrix of IDEA GENERATION AND SELECTION WORD CHARADES HANDOUT and recommended strategies to ensure such change have also been made.
VRIO Framework
The VRIO Framework or VRIO analysis is a strategic management tool that is used to analyse a firm’s internal strengths and resources. It helps identify which one of its internal strengths and resources can be a source of sustained competitive advantage. The analysis is based on the idea that a firm’s internal resources are a source of sustained competitive advantage if they are valuable, rare, cannot be imitated by competition, and are organised to capture value for the organisation. The VRIO analysis requires looking at a firm's resources based on these 4 factors.
Based on the analysis, each resource can either provide a sustained competitive advantage, has a good competitive advantage, temporary competitive advantage, competitive parity or competitive disadvantage. A sustained competitive advantage exists when a resource is valuable, rare, non-imitable and organised. A good competitive advantage occurs if it is valuable, rare, and non-imitable. A temporary competitive advantage exists if it is valuable and rare. A competitive parity occurs if it is only valuable. Lastly, the resource is a competitive disadvantage if it is neither of the 4. The analysis takes place in this order by first assessing whether a resource is valuable, rare, imitable and organised.
References
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management, 17(1), 99-120.
Barney, J. (2002). Gaining and Sustaining Competitive Advantage, 2nd ed. Prentice Hall, Upper Saddle River, NJ.
Cardeal, N., & Antonio, N. S. (2012). Valuable, rare, inimitable resources and organization (VRIO) resources or valuable, rare, inimitable resources (VRI) capabilities: What leads to competitive advantage?
Hambrick, D. C., MacMillan, I. C., & Day, D. L. (1982). Strategic attributes and performance in the BCG matrix—A PIMS-based analysis of industrial product businesses. Academy of Management Journal, 25(3), 510-531.
Jurevicius, O. (2013a). VRIO Framework. Retrieved from https://www.strategicmanagementinsight.com/tools/vrio.html
Jurevicius, O. (2013b). BCG growth-share matrix. Retrieved from https://www.strategicmanagementinsight.com/tools/bcg-matrix-growth-share.html
Knott, P. J. (2015). Does VRIO help managers evaluate a firm’s resources? Management Decision, 53(8), 1806-1822.
Seeger, J. A. (1984). Research note and communication. Reversing the images of BCG's growth/share matrix. Strategic Management Journal, 5(1), 93-97.
Smith, M. (2002). Derrick's Ice–Cream Company: applying the BCG matrix in customer profitability analysis. Accounting education, 11(4), 365-375.
Warning! This article is only an example and cannot be used for research or reference purposes. If you need help with something similar, please submit your details here.
Vivian Dominik
5.0
Thank you for revising the assignment on the dot. Always a satisfied client of this service.
Lin Kun
4.0
I’ve been using this service for over two years. Not expensive and the customer support gave attention to details. Recommended!
Ajeet Sanchit
5.0
Fast turnaround and the paper was A+. I’ll use this service again for sure.
Amit Eshaant
5.0
Finding a good writing service is a hard task but I succeeded because I’ve found this service. Nice quality of the paper and I am happy!
Next Articles
- IDEA GENERATION AND SELECTION: THE ALTERNATIVE USE EXERCISE (HANDOUT) Bcg Matrix
- NOT SO FAST... LITIGATION STRATEGY IN EMC CORPORATION V. DONATELLI (B) Bcg Matrix
- EXPECT THE UNEXPECTED STUDENT TEMPLATE, SPREADSHEET Bcg Matrix
- THE ELEVATOR SAGA (STUDENT SPREADSHEET) Bcg Matrix
- PREMIUM SPIRITS SUPPLY CHAIN MANAGEMENT. PERNOD RICARD ITALIA Bcg Matrix
- STAPLES LBO: MEET YOU ON THE MEZZANINE (STUDENT SPREADSHEET) Bcg Matrix
- HIGH PERFORMING TEAMS NEED PSYCHOLOGICAL SAFETY. HERE'S HOW TO CREATE IT Bcg Matrix
- GENEVIÈVE SALBAING AND THE STORY OF BALLETS JAZZ MONTRÉAL: DANCING TO THE RHYTHM OF TIME Bcg Matrix
- INNOVATION SIMULATION: BREAKING NEWS Bcg Matrix
- POWERBALL: SOMEBODY’S GOTTA WIN! Bcg Matrix
Previous Articles
- HAT IN HAND: FINANCING THE LEVERAGED BUYOUT OF CLEAR CHANNEL COMMUNICAITONS (SPREADSHEET) Bcg Matrix
- WHEN HIRING EXECS, CONTEXT MATTERS MOST Bcg Matrix
- WE LOOK LIKE OUR NAMES Bcg Matrix
- LIFE'S WORK: AN INTERVIEW WITH MICHAEL STRAHAN Bcg Matrix
- WHEN IT'S TIME TO EXPAND BEYOND THE BASE (HBR CASE STUDY AND COMMENTARY) Bcg Matrix
- COULD YOUR PERSONALITY DERAIL YOUR CAREER? Bcg Matrix
- MANAGEMENT IS MUCH MORE THAN A SCIENCE Bcg Matrix
- WHY DO WE UNDERVALUE COMPETENT MANAGEMENT? Bcg Matrix
- COMP TARGETS THAT WORK Bcg Matrix
- COMPETING ON SOCIAL PURPOSE Bcg Matrix
Be a great writer or hire a greater one!
Academic writing has no room for errors and mistakes. If you have BIG dreams to score BIG, think out of the box and hire Case48 with BIG enough reputation.
Our Guarantees
Interesting Fact
Most recent surveys suggest that around 76 % students try professional academic writing services at least once in their lifetime!