A Cash Cow, in the BCG framework, refers to a business that has
A)high market growth and relatively high market share.
B)relatively low market share and low market growth.
C)relatively low market share and high market growth.
D)low market growth and relatively high market share.

Question

Quizplus · Accepted Answer

Each of the four quadrants of the BCG Portfolio grid has different implications for the SBUs that fall into that category. Cash Cows are SBUs with high market shares in low-growth industries. These units have limited long-run potential but represent a source of current cash flows to fund investments in Stars and Question Marks.

A Cash Cow, in the BCG Framework, Refers to a Business