Question

Strategic business units that compete in a low-growth market but hold considerable market share are called ________. Their earnings and cash flows are high and stable.

Answer 1

Strategic business units that compete in a low-growth market but hold considerable market share are called Cash Cows because their earnings and cash flows are high and stable.

What is the Cash Cow?

The cash cow is a quadrant in the BCG matrix that shows that a unit has a consistently profitable business and possesses the following characteristics:

• Competes in a low-growth market.
• Holds considerable market share.
• High and stable cash flows and earnings.

Thus, the strategic business unit with the above characteristics is a cash cow.

Learn more about the BCG matrix at brainly.com/question/26633615