Several years ago, Black & Decker purchased General Electric's small appliances product line. Black & Decker purchased the line because it needed the cash generated from a product line that had a dominant market share in the slow-growth small appliance industry. GE's small appliances product line is most likely a __________ for Black & Decker.
A)dog
B)cash cow
C)question mark
D)star
E)hedgehog

Question

Quizplus · Accepted Answer

The fact that Black & Decker purchased the GE small appliances product line for the cash generated from a dominant market share in a slow-growth industry indicates that the product line is a cash cow for Black & Decker. A cash cow is a product or business unit that generates significant cash flow and has a high market share in a slow-growth industry.

Several Years Ago, Black & Decker Purchased General Electric's Small