Week3 Boston Matrix

Question 1

What is the Boston Matrix and its contribution?

Answer 1

• Managing product portfolio.
• Looks at existing products, market share, growth.
• Insights about products, features, performance, etc…

Question 2

Drawbacks of Boston Matrix

Answer 2

• Other factors?
• Too simplistic
• High share could be due to low price and profits because of high costs.

Question 3

Boston Matrix: Question Mark

Answer 3

• New products in high growth market.
• Loss Making to start
• Invest in marketing to increase market share. Turn into star.

Question 4

Boston Matrix: Star

Answer 4

• High share, high growth.
• High profits, potential to be cash cow when market slows down.

Question 5

Boston Matrix: Cash cow

Answer 5

• Low growth, high share.
• Consumer still buying but not so much.
• Making profit to invest in others.

Question 6

Boston Matrix: Dogs

Answer 6

• Low share, low growth.
• All other products (CC, star, ?) turn into dogs if not done correctly.
• Can get rid of them but can provide brand loyalty.