Question

Using the BCG​ growth-share matrix as a​ guide, Masumura Technologies identified question marks in its business portfolio but is currently maintaining its market share. At a recent meeting with the​ company's senior management​ team, the CEO of Masumura and her team members decided to allocate all of the​ company's profits toward the growth and expansion of these question​ marks, in order to cause the question marks to become stars. What is likely to happen to this​ company?

Answer 1

According to the question, what is likely to happen to this company is that:

• The company market growth rate will be high and its share will dominate the market.  
• In other words, the company’s product will be leading in the market and it will make a lot of profit because of the its market strength.
• However, the company will need to invest heavily to maintain its rapid growth.
• Also the growth of the company might eventually slow down and they can become cash cows.

Further Explanation

Bruce Henderson created the BCG growth-share matrix in 1968. He created this chart to assists companies on how to analyze their product line.

This chart has been used by many successful companies and it still plays a key role in business strategy till today.

The BCG growth-share matrix uses two dimensions to evaluate product.

1. The first dimension assess product based on its growth within the market
2. The second dimension evaluate product market share in comparison to the leading competitor within its market.

BCG matrix categorized product into four different groups, which include:

• Stars (products have high share and high growth)
• Cash cows (products have high share and low growth)
• Problem child (product have low share and high growth)
• Dog (products have low share and low growth)

LEARN MORE:

• BCG growth-market share matrix brainly.com/question/13208776
• market growth brainly.com/question/10970479

KEYWORDS:

• bcg matrix
• stars
• cash cow
• dog
• problem child