Break Technologies has five strategic business units (SBUs)-computers, refrigerators, washing machines, air conditioners, and televisions. Its computers unit is quite profitable in spite of operating in a slow-growing market, and it is profitable enough to provide funds for the operation of the other business units as well. In the context of the BCG matrix, which of the following categories of SBUs best describes the computers unit?
A) Stars
B) Cash cows
C) Question marks
D) Dogs

Question

Quizplus · Accepted Answer

The computers unit is generating high profits in a slow-growing market, making it a cash cow according to the BCG matrix. It is able to provide funds to other SBUs, indicating that it is a mature and established business unit.

Break Technologies Has Five Strategic Business Units (SBUs)-Computers, Refrigerators, Washing