The global leader in the cigarette lighter business is French company BIC, but the market is expected to decline in coming years as fewer people take up smoking. Realizing these factors, Gillette decided to sell its Cricket lighter division to Swedish Match. According to the BCG matrix, Gillette viewed Cricket as a __________.
A) question mark
B) sleeping giant
C) cash cow
D) dog
E) star

Question

Quizplus · Accepted Answer

The BCG matrix categorizes products into four categories: stars, question marks, cash cows, and dogs. The declining sales of the cigarette lighter market due to the reduction in smokers' numbers means that the product has a low market share and low market growth rate. Thus, Gillette viewed it as a dog, a product with low market share and low market growth rate.

The Global Leader in the Cigarette Lighter Business Is French