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The Boston Consulting Group (BCG), a nationally known management consulting firm, developed business portfolio analysis. It is a technique that managers use to quantify performance measures and growth targets to analyze their firms' strategic business units (SBUs) as though they were a collection of separate investments. The purpose of the tool is to determine the appeal of each SBU or offering and then determine the amount of cash each should receive. This activity is important because roughly 75 percent of the largest U.S. firms have used this analytical tool. The goal of this activity is to perform a simple business portfolio analysis.Read about four hypothetical companies and their products' sales. Then match each to the correct name in the quadrant of the growth-share matrix.1. The Stylish Dog has sold twice as many dog beds as its closest competitor in the rapidly expanding pet bed market.2. The market for recreational drones is growing exponentially each year. Flight, Inc. has one third of the market share as compared to its largest competitor.3. After BluRays and DVRs hit the market, VCR market growth slowed dramatically. A marginal electronics manufacturer, Sonic continues to manufacture VCRs for customers with an inventory of VCR tapes.4. The ski industry has slowed down based on the growing popularity of snowboarding, however K2 maintains its position as market share leader.
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