Product portfolios Flashcards
1
Q
what is the Boston matrix
A
it is a portfolio of the products that a business makes. it focuses on the cash flow from products
2
Q
how does the boston matrix work
A
the products are catergorised as : question marks, stars, cash cows and dogs
3
Q
question mark
A
low share of market
negative cash flow
dont know about the future of product
4
Q
stars
A
high share of market
neutral cash flow
strong product
5
Q
cash cows
A
high share of market
mature product
no growth
large positive cash flow
6
Q
dogs
A
low share of market
no growth
product has failed or declining
7
Q
why is the boston matrix useful and not so useful
A
its good for analysing portfolio decisions.
no real predictive value.
doesnt take in other factors
