One of the Strengths Inherent in the Use of the BCG

question 14

Multiple Choice

One of the strengths inherent in the use of the BCG business portfolio analysis is that it

• A) is based solely on company perception rather than actual data.
• B) considers all factors that might impact an SBU's value to an organization.
• C) acts as a strong motivational tool for employees in SBUs that have been labeled "dogs" or "question marks."
• D) forces a firm to place each of its SBUs in the growth-share matrix, which in turn suggests which SBUs will be cash producers or cash users in the future.
• E) identifies specific marketing strategies and marketing tactics on how to solve SBU shortcomings.

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Definitions:

Business Trust

A business organization governed by a group of trustees who operate the trust for beneficiaries.

Trustees

Trustees are individuals or organizations appointed to manage assets on behalf of others, typically in a trust fund.

Beneficiaries

Beneficiaries are individuals or entities designated to receive benefits or assets under a legal instrument, such as a will, trust, or insurance policy.

Chain-Style Business Operation

A type of franchise in which the franchise operates under the franchisor’s business name and is required to follow the franchisor’s standards and methods of business operation.