BCG Matrix
What are the characteristics of a dog?
-low growth rate
-low market share
Name 3 types of strategies
2. Growth strategy
3. Competitive strategy
What is step 1 of strategic management?
Identifying the organizations current mission, goals, and strategies
What are the subdivisions of growth strategy?
1. Concentration
2. Vertical integration
3. Horizontal integration
4. Diversification
What are the characteristics of a star?
-high growth rate
-high market share
What does corporate strategy focus on?
- what business is the company in or trying to be in
What is step 2 of strategic management?
Doing an external analysis
What are the subdivisions of competitive strategy?
1. Cost leadership
2. Differentiation
What are the characteristics of a cash-cow?
-low growth rate
-high market share
What does competitive strategy focus on?
Focuses on how a firm compares to its competitors
What is step 3 of strategic management?
Doing an internal analysis
What is cost leadership strategy?
A type of competitive strategy that competes via lowest cost
What are the characteristics of a question mark?
-high growth rate
-low market share
What does growth strategy focus on?
Focuses on how to grow and expand the company
What is step 4 of strategic management?
Formulating strategies
What is differentiation strategy?
A type of competitive strategy that competes via unique products
What does the BCG Matrix do?
It uses market share and growth to make decisions on SBUs
What 3 things does corporate strategy focus on?
Growth, stability, and renewal
What are steps 5 and 6 of strategic management?
5: implementing strategies
6: Evaluating results
What is concentration (in the growth strategy)?
It focuses on increasing products offered or markets served in primary business