Strategic ManagementMCQQuestion 5867 of 809
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In the Boston Consulting Group (BCG) Growth-Share Matrix, a Strategic Business Unit (SBU) that has a high market share in a low-growth, mature industry is designated as a:

Select Your Answer (Keyboard: A, B, C, D)
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Correct Answer

✅ Option B — Cash Cow

All Options:

  • AStar
  • BCash Cow ✓
  • CQuestion Mark (Problem Child)
  • DDog

Detailed Solution & Explanation

BCG Growth-Share Matrix Quad-Classification:
1. **Stars**: High market share, high industry growth rate.
2. **Cash Cows**: **High market share, low industry growth rate**. They generate stable positive cash flows that finance other business segments.
3. **Question Marks**: Low market share, high industry growth rate.
4. **Dogs**: Low market share, low industry growth rate.
Hence, **Option B** is the correct answer.

Key Concepts to Understand

Matrix

A rectangular arrangement of numbers (elements) in rows and columns, enclosed in brackets. An m × n matrix has m rows and n columns. Matrices support addition, subtraction, and multiplication (subject to compatibility conditions).

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