Which of the following is a weakness associated with BCG matrix?
A)Treating market growth rate as a proxy for market attractiveness, and market share as an indicator of competitive strength is over-simplistic.
B)The matrix ignores interdependencies between products
C)The matrix was based upon cash flow but perhaps profitability (e.g. return on investment) is a better criterion for allocating resources
D)All of the above are weakness attributed to the BCG matrix

Question

Quizplus · Accepted Answer

All of the mentioned options are weaknesses attributed to the BCG matrix. Treating market growth rate and market share as the only indicators is oversimplistic, the matrix disregards interdependencies between products, and profitability may be a better criterion for resource allocation rather than just cash flow.

Which of the Following Is a Weakness Associated with BCG