BCG MATRIX
Case Study: Malaysia Mobile Telecommunications
Presented for: Assoc. Prof. Dr. Zarina Salleh
Prepared by: Siti Nur Azzyati Saharuddin

INTRODUCTION
______________________
•
Develop by Bruce Henderson of
Boston Consulting
Group
, 1960s.
•
Technique that classified business as low or high
performance based on their market growth rate and
relative market share.
•
Advantages of BCG Matrix:
1. Easy to plot
2. Catchy name for quadrants
(Star, Question Marks, Cash Cows, Dog)
BCG MATRIX

•
Axis in graph present:
1. Market/industry growth – Y axis
2. Relative market share (RMS) – X axis
Annual growth for market SBU operates
Market share compare to other
competitors

MARKET GROWTH RATE
_____________
•
Normally used as a measure of market’s
attractiveness.
•
Formula:
MGR =
Current Sales – Last Year Sales
Last Year Sales

RELATIVE MARKET SHARE
_________
•
Formula:
RMS =
Business Unit Sales this year
Leading rival Sales this year

BCG
MATRIX
MARKET
LEADERS IN
HIGH
GROWTH
MARKETS
NOT MARKET
LEADERS IN
HIGH
GROWTH
MARKETS
MARKET
LEADERS IN
LOW
GROWTH
MARKETS
NOT MARKET
LEADERS IN
LOW
GROWTH
MARKETS


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- Fall '13
- Marketing, Telecommunications , BCG Matrix