BCG Matrix

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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 MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry 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.

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BCG Matrix of MAS Holdings Strategic Corporate


Social Responsibility in the Apparel Industry
The BCG Matrix for MAS Holdings Strategic Corporate Social Responsibility in
the Apparel Industry will help MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry in implementing the business level
strategies for its business units. The analysis will first identify where the
strategic business units of MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry fall within the BCG Matrix for MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry.

Stars
 The financial services strategic business unit is a star in the BCG matrix of
MAS Holdings Strategic Corporate Social Responsibility in the Apparel
Industry. It operates in a market that shows potential in the future. MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry
earns a significant amount of its income from this SBU. MAS Holdings
Strategic Corporate Social Responsibility in the Apparel Industry 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
MAS Holdings Strategic Corporate Social Responsibility in the Apparel
Industry, 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. MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry
should undergo a product development strategy for this SBU, where it
develops innovative features on this product through research and
development. This will help MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry by attracting more customers and
increases its sales.
 The Number 2 brand Strategic business unit is a star in the BCG matrix of
MAS Holdings Strategic Corporate Social Responsibility in the Apparel
Industry as MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry 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. MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry.

Cash Cows
 The supplier management service strategic business unit is a cash cow in
the BCG matrix of MAS Holdings Strategic Corporate Social Responsibility
in the Apparel Industry. This has been in operation for over decades and
has earned MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry a significant amount in revenue. The market share for
MAS Holdings Strategic Corporate Social Responsibility in the Apparel
Industry is high, but the overall market is declining as companies manage
their supplier themselves rather than outsourcing it. The recommended
strategy for MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. This is an innovative product that has a market share of
25% in its category. MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry is also the market leader in this
category. The overall category has been declining slowly in the past few
years. MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry.
 The international food strategic business unit is a cash cow in the BCG
matrix for MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. 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 MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry is to invest enough to keep
this strategic business unit under operations. If it no longer remains
profitable and turns into a dog, then MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry should divest this strategic
business unit.

Question Marks
 The local foods strategic business unit is a question mark in the BCG
matrix for MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. 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, MAS Holdings Strategic
Corporate Social Responsibility in the Apparel Industry has a low market
share in this segment. The recommended strategy for MAS Holdings
Strategic Corporate Social Responsibility in the Apparel Industry 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry is to divest and prevent any future losses from
occurring.
 The confectionery strategic business unit is a question mark in the BCG
matrix for MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. The confectionery market is an attractive market that is
growing over the years. However, MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry has a low market share in
this attractive market. The low sales are as a result of low reach and poor
distribution of MAS Holdings Strategic Corporate Social Responsibility in
the Apparel Industry in this segment. The recommended strategy for MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry
is to undergo market penetration, where it pushes to make its product
present on more outlets. This will ensure increased sales for MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry
and convert this strategic business unit into a cash cow.

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Dogs
 The plastic bags strategic business unit is a dog in the BCG matrix of MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry.
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 MAS Holdings Strategic
Corporate Social Responsibility in the Apparel Industry 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
MAS Holdings Strategic Corporate Social Responsibility in the Apparel
Industry. 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 MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry is to invest in the business enough to convert into a
cash cow. This will ensure profits for MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry if the market starts growing
again in the future.
 The synthetic fibre products strategic business unit is a dog in the BCG
matrix of MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry. The market for such products has been declining, and
as a result of this decline, MAS Holdings Strategic Corporate Social
Responsibility in the Apparel Industry has been facing a loss in the past 3
years. The market share for it is also less than 5%. The recommended
strategy for MAS Holdings Strategic Corporate Social Responsibility in the
Apparel Industry 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 MAS Holdings Strategic Corporate Social Responsibility in
the Apparel Industry. 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 MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry has no significant market
share. The recommended strategy for MAS Holdings Strategic Corporate
Social Responsibility in the Apparel Industry is to call back this product.

Some of the strategic business units identified in the BCG matrix for MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry 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 MAS
Holdings Strategic Corporate Social Responsibility in the Apparel Industry and
recommended strategies to ensure such change have also been made.

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