In the BCG Business Portfolio Model, a Relative Market Share

question 104

Multiple Choice

In the BCG business portfolio model, a relative market share of 10 × at the left end of the scale on its horizontal axis means that the SBU has 10 times the share of its largest competitor, whereas a relative market share of 0.1 × at the right end of the scale on its horizontal axis means that

• A) the SBU has only 10 percent of the share of its average competitor.
• B) the SBU has 100 percent of the share of its largest competitor.
• C) the growth rate between the SBU and the next largest competitor is actually identical.
• D) the SBU has only 10 percent of the share of its largest competitor.
• E) the industry growth rate is declining.

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Definitions:

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The study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.

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