Strategy in Work
Egon Christopher Westerhausen
Summer 2009
Growth share matrix 3
Building the growth Share Matrix from the Parenting Matrix given in the case study. Question 1 5
MARKET SHARE 5
Unilever Question(ii) 6
Positive and negative bias of a merger. 7
Question (i)Determine other areas of forward integration that car manufactures might consider and explain why? 8
Strategy that may be used by companies to create forward integration in the car industry. 10
Question (ii) Analyze how the resources and competences of a car manufacture differ from the downstream activities they are moving into? 11
Question (iii) Evaluate whether `diversification downstream´is related or unrelated or unrelated diversification, bearing in ming the answers to the question above. 12
What is needed for a successful strategy? 13 Growth share matrix
The growth share matrix was developed by a consulting company in Boston called ´Boston Consulting Group´, his creator is Bruce Henderson. By these means corporations are enhanced in the analysis of their product lines or business units. Usually this analytical tool is used in diverse areas as brand marketing , strategic management, portfolio analysis and product management.
There are two factors that define the matrix: There is a relative market share and of course market growth. Using this matrix by placing individual products from the company portfolio in one of the quadrants and repeating the process for competing products. As a result this will have direct implications in market share and brand positioning.
Four Quadrants
1- Stars: A product that has a high growth market and has a good slice of the market share. Usually a generating strong revenues. As a star product evolves and growth slows down it may become a cash cow if it holds market share or become dogs if not.
2- Cash Cows: This product has