The Boston Consulting Group (BCG)business portfolio analysis requires an organization to locate the position for each of its strategic business units (SBUs)on a growth-share matrix.In a growth-share matrix,the vertical axis of the matrix indicates
A)the annual rate of growth of the firm's largest competitor.
B)the relative dollar market share of the largest competitor.
C)the annual rate of growth of the SBU's industry.
D)the relative unit market share of the largest competitor.
E)the annual rate of growth of the firm itself.

Question

Quizplus · Accepted Answer

The vertical axis is the market growth rate,which is the annual rate of growth of the SBU's industry.The horizontal axis is the relative market share,defined as the sales of the SBU divided by the sales of the largest firm in the industry.

The Boston Consulting Group (BCG)business Portfolio Analysis Requires an Organization