3 tools used in analysis

1. THE BCG MATRIX 2. ANSOFFS MATRIX 3. SWOT ANALYSIS

The BCG matrix

Is a corporate planning tool, which is used to portray firm’s brand portfolio on a

Horizontal axis

relative market share

vertical axis

speed of market growth

Boston consulting group

bcg created by____

The BCG Matrix

1970

to evaluate the strategic position of the business brand

industry attractiveness

growth rate of the industry

competitive position

relative market share (cp)

The bcg matrix

it provide a clear and simple method for companies to decide which part of their business to allocate resources

Y axis

market growth

X axis

market share

Star

they operate in high growth markets and also have high market share

star

Leading electric bicycle model in rapidly growing electric bicycle market (strategies they need to invest heavily to maintained leadership)

star

In the long run it become cash cows because of stable in the market

star

These required significant investment

Cash cows

They operate in low growth market but high market share (they generate stable market but in minimal investment)

Cash cows

dominate mature market

Cash cows

Colgate well established brand (use profit to fund other product of colgate)

Question mark

They operate in high growth market but they have low market share

Question mark

  They required large investment because you take a change (successes uncertain)

Question mark

Strategic quadrant position in bcg

Question mark

A new delivery platform competing in rapidly growing market

Question mark

Strategies: invest heavily or it could be dog

Dog

Digital cam na nag sstrugle after lumabas ng mga smartphone because na replace na after lumabas ng mga compact phone

Dog

-          They operate in low growth market and low market share

Dog

These product generate low profit (pwede na mag divest)

Dog

  Harvest (maximize profit) or discountinue product

Dog

low market share and low market growth

Dog

-          Weak in the market

-          Difficult to make profit

Cash cows

high market share and low market growth

cash cows

-          Doing well in no growth market

-          Limited opportunities

Question mark

low market share and high market growth

Question mark

-          Don’t know what to do with opportunities

-          They can decide whether to increase investment

star

high market share and high market growth

star

doing well

- great opportunities

star

hold

cash cows

harvest

question mark

build market share

dog

divest

SWOT analysis

  It is an analytical tool for auditing a product or organization and its environment

albert Humphrey

SWOT analysis. It is developed by ______from Stanford university during 1960 and 1970

1. strength

2. weaknesses

2 internal factors

1. opportunities

2. threats

2 external factors

strength

are attributes to the product that are helpful to achieving the objective(s).

weaknesses

are attributes of the product that are harmful to achieving of the objective(s).

Opportunities

are external condition that are helpful to achieving the objective(s).

Threat

are external conditions which could do damage to the objective(s).