SBUs with dominant shares of slow-growth markets that provide cash to cover the organization's overhead and to invest in other SBUs are referred to as _________.

Question

Quizplus · Accepted Answer

Cash cows are SBUs with high market share in a slow-growth market. They generate significant cash flows which can be used to cover the overhead costs of the organization and invest in other SBUs with greater growth potential. Stars are SBUs with high market share in a high-growth market, question marks are SBUs with low market share in a high-growth market and dogs are SBUs with low market share in a slow-growth market. Problem children are another name for question marks.

SBUs with Dominant Shares of Slow-Growth Markets That Provide Cash