Fernando was thrilled to find out that his company had just decided to invest a great deal of money in the product he was managing.He knows that even with its recent high rate of growth and the fact that it dominates its market,he would need more money to establish it firmly.Using the BCG portfolio analysis,his product would be classified as a(n)
A) star.
B) cash cow.
C) question mark.
D) dog.
E) anchor.

Question

Quizplus · Accepted Answer

The fact that the product is experiencing high rate of growth and dominates its market indicates that it has a high market share and high market growth, which are the criteria for classification as a "star" in the BCG portfolio analysis. The investment of a great deal of money by the company further supports this classification.

Fernando Was Thrilled to Find Out That His Company Had