The BCG model classifies products under four areas. These are stars‚ cash cows‚ question marks and dogs. Stars are SBU’s with high share or high growth market. Virgin Atlantic is clearly the cash cow of the Virgin Empire but we have undertaken a portfolio analysis from the viewpoint of Virgin Atlantic. With regards to Virgin Atlantic Airways we believe that there is no star. The cash cow is the Upper Class section. Cash cows have high share of a low growth market and generate higher cash revenues
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Strategy Strategy sets the organizations direction and provides the framework that management will use to achieve to goals through strategic‚ tactical and operational planning. When developing a strategy‚ managers answer such questions as "What products should we make?" "What markets should we serve?" What operations should we use?" "How should we compete?" To effectively answer these questions‚ managers consider four elements when they create organizational strategies. STRATEGY LEVELS
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Maraniara Davy C. Villarama MM1-Marketing Management BCG Matrix of KFC The need for strategy‚ in order to expand its existing product in very promising markets for KFC is very essential. KFC‚ along with McDonalds‚ and other major fast food chains have dominated the American continent as well as elsewhere. Since the1950’s when the founder of KFC had a dream‚ of building an empire in the fast foodmarket‚ the company has undergone lots of changes. The company has changedownership; it has taken
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advantages emerging Chinese companies have over Western competitors‚ even as these firms face their own difficulties in entering the global marketplace. Also‚ Deepak Advani‚ chief marketing officer of Lenovo‚ and Hal Sirkin‚ senior vice president at BCG‚ discuss the advantages of tailoring products and messages to local markets in China One Billion‚ Three Hundred Million: The New Chinese Consumer 1 Despite rapid urbanization and the emergence of a strong‚ status-conscious middle class‚
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MARKETING PLAN OF LG NEW MEGA ENTERTAINMENT HOME THEATRE POWER ATOM TV SUBMITTED BY DEWESH J RR 1908 A 21 SUBMITTED TO SAVITA MAM L
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overall picture of how to classify and appreciate strategy tools and models. Mintzberg et al. have developed schools of thought to help alleviate and categorise this problem but this approach lacks a comparison of the models found in industry e.g. BCG‚ 7S McKinsey‚ ANSOFF etc. Consequently at academic level (but not only) we see models like P5F‚ etc. predominate while tools like SWOT‚ PEST‚ ARC etc. populate the consultancy arena and operative levels of the organisation. The purpose of this paper
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Virgin provides ‘strategic intent’ by laying certain ideologies for its SBU’s to follow. This provides discipline and strong methodologies for the units to adhere too. Another element of ‘value adding’ via Virgins parenthood can be explained using the BCG matrix. The Virgin group’s portfolio shows high market share and strong growth within their markets. These positive denotations enable management to visualize the potential of concurrent markets and ensure growth is fully realized. 4. ‘’The greatest
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(Smith‚ Ansoff) or brand expansion (Borden‚ Ansoff‚ Kerin and Peterson‚ 1978)" (48). Market maturity strategies "In maturity‚ sales growth slows‚ stabilizes and starts to decline. In early maturity‚ it is common to employ a maintenance strategy (BCG)‚ where the firm maintains or holds a stable marketing mix" (48). Market decline strategies At some point the decline in sales approaches and then begins to exceed costs. And not just accounting costs‚ there are hidden costs as well; as Kotler (1965
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Germany‚ and Japan got into the emerging markets. However‚ some local companies held out against and exorcised multinationals. In this article‚ the authors instantiate this kind of local companies by explaining that Mahindra & Mahindra in India and Haier Group in China have barraged out their own rivals‚ reset their business strategies‚ taken advantages of new opportunities‚ and gained high competencies that enable themselves to do their businesses in global markets very successfully. Also‚ the authors
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Weaknesses‚ Opportunities‚ and Threats involved in a project or in a business venture. A SWOT analysis can be carried out for a product‚ place‚ industry or person. 6. The BCG matrix or also called BCG model relates to marketing. The BCG model is a well-known portfolio management tool used in product life cycle theory. BCG matrix is often used to prioritize which products within company product mix get more funding and attention. 7. retrenchment‚ is reduces outgoing money or expenditures
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