How does the BCG Growth-Share Matrix contribute to the overall growth strategy of a company?

The BCG Growth-Share Matrix contributes to the overall growth strategy of a company by providing a visual representation of its product portfolio. It helps in identifying the products that are generating the most revenue (stars), those that could potentially generate substantial revenue in the future (question marks), those that are steady performers (cash cows), and those that are not performing well (dogs). This information can guide strategic decisions about where to invest, where to divest, and where to focus resources for maximum growth.

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Developed by Boston Consulting Group, the BCG Growth-Share Matrix is a visualization tool that plots a company's multiple product lines along with their relative market share and against their market growth rate. This matrix visualization plots the product lines into four quadrants according to their relevant market growth rate and relative market share. Each icon on the matrix correlates to a "growth category" to determine how each product should be considered.

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