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sasho [114]
2 years ago
7

Critics argue that the BCG portfolio model sometimes provides misleading advice concerning how resources should be allocated acr

oss SBUs or product markets. What are some of the possible limitations of the model? What might a manager do to reap the benefits of portfolio analysis while avoiding at least some shortcomings you have identified?
Business
1 answer:
Gnoma [55]2 years ago
7 0

Answer:

Limitation of the BCG model include;

• Market share and industry growth are not the only factors of profitability.

• Business can only be classified to four quadrants.

• It does not define what ‘market’ is.

• Does not include other external factors that may change the situation completely.

Explanation:

Necessary steps managers should take to overcome the limitations;

• BCG matrix can be used to analyze SBUs, separate brands, products or a firm as a unit itself. Which unit will be chosen will have an impact on the whole analysis.

• It is important to clearly define the market to better understand firm’s portfolio position.

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Suppose that the rural part of a country is hit by a major earthquake
stiv31 [10]

Answer:

(a) How this episode is likely to affect the economic well-being of people in the country

In the short-run, there will be an increase in labor demanded, increasing jobs to build homes and repair the damage caused by the earthquake. In the long-run, things will begin to go back to normal.

(b) How this episode is likely to affect the economy’s measured GDP

In this case, GDP measurements will shift causing less of an input in private spending and an increase in government spending due to subsidies to increase home-building.

6 0
3 years ago
Before Pepsi-Cola stamped freshness dates on its cans, few consumers considered cola freshness an issue. After Pepsi spent about
Vilka [71]

Below are the complete options:

changing beliefs about the extent to which a brand has certain attributes

encouraging the consumer to use stimulus generalization

adding new attributes to the product

encouraging the consumer to use stimulus discrimination

changing the importance of attributes

Answer:

changing the importance of attributes

Explanation:

Freshness dates shows for how long a drink can be considered to not have expired. For example Pepsi can be considered to give freshness from 6-9 months after the date printed on the bottle.

Pepsi spent about $25 million on advertising and promotion related to freshness dates. Initially freshness dates were only seen as important by a few people.

This resulted in 61 percent of cola drinkers now thinking it is important.

This exemplifies how importance of a product's attribute can be changed

6 0
2 years ago
Assume that a company sells customized sweatshirts for $15 per unit. It pays a sales commission of $5 per unit sold. The company
Annette [7]

Answer:

The  The number of sweatshirts the company would need to sell to earn a target profit of $1,710 is closest to <u>570</u> sweatshirts.

Explanation:

This can be calculated as follows:

Selling price per unit = $15

Total cost price per unit = Average unit cost + Sales commission per unit = $7 + $5 = $12

Profit per unit = Selling price per unit - Total cost price per unit = $15 - $12 = $3

Target profit = $1,710

Number of sweatshirts to sell to earn a target profit = Target profit / Profit per unit = $1,710 / 3 = 570

5 0
2 years ago
Ray has six hours before he goes to bed on a school night. He plans to spend an hour surfing the Internet, two hours playing his
dsp73
He will ask his brother to help him with his homework but exclude watching tv and playing video games until he finishes the homework
4 0
3 years ago
The purpose of the news media is to do which of the following?
wolverine [178]

<u>Answer:</u>

<em>The purpose of the news media is to </em><u><em>provide information </em></u>

<em></em>

<u>Explanation:</u>

The news media gives target information that enables individuals to use sound decisions. The motivation behind news media is to offer projects and administrations that illuminate, teach, instruct, and enhance general society and help educate everyday talk fundamental to American culture. It is CPB's specific duty to empower the advancement of substance that includes innovative hazard, and that tends to the requirements of unserved and underserved spectators, particularly youngsters and minorities. CPB goes about as a watchman of the essential purposes for which open telecom was set up.

7 0
2 years ago
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