Boston Matrix

• What is the Bostan Matrix used for?

  It categorizes a business' products
• What two factors does the Bastan Matsix consider?

  Market share and market growth
• What are the four categories in the Bastan Matsix?

  • Star
  • Problem Child
  • Cash Cow
  • Dog
• What characterizes a Star in the Bastan Matsix?

  Fairly new, successful products
• What is the typical stage of a Star in the product life cycle?

  Growth stage
• What is a Cash Cow in the Bastan Matsix?

  Established products with high customer loyalty
• What does a Cash Cow require in terms of promotion?

  No need for heavy promotion
• What is a Problem Child in the Bastan Matsix?

  Low market share in a growing market
• What stage of the product life cycle does a Problem Child typically represent?

  Introduction stage
• What is a Dog in the Bastan Matsix?

  Unsuccessful products in decline stage
• What should be done with Dogs according to the Bastan Matsix?

  Withdraw them from the market
• Give examples of products in each category of the Bastan Matsix.

  • Star: Crunchy Nut
  • Cash Cow: Corn Flakes
  • Problem Child: Coco Pops
  • Dog: Coco Pops Rocks
• How does a Cash Cow support other products?

  By generating revenue to support them
• What is the significance of customer loyalty for Cash Cows?

  It leads to repeat purchases
• What is the market share and growth of a Dog?

  Low market share and declining growth
• What does the term "milk the cash cows" imply?

  To use profits to support other products