The Principal Merit of the BCG Portfolio Planning Matrix Is

question 36

Multiple Choice

The principal merit of the BCG portfolio planning matrix is:

• A)Its accuracy in predicting profit and cash flow potential
• B)Its empirical basis: the relationship between market share and profitability has been widely observed
• C)Its simplicity
• D)Its use of metaphor (dogs,cash cows,stars,etc. )

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Definitions:

Limbic System

A complex system of nerves and networks in the brain, associated with emotions, memories, and arousal.

Hippocampus

A brain structure deeply involved in memory formation, particularly converting short-term memory to long-term memory, and spatial navigation.

New Memories

The formation of new associative connections in the brain, allowing for the storage and recall of new experiences or information.

Nucleus Accumbens

A region in the brain involved in the reward circuit, associated with motivation, pleasure, and addiction.