On What Assumption Is the BCG Portfolio Model Based

question 1

Multiple Choice

 On what assumption is the BCG Portfolio Model based? 

• A) Profitability and cash flow will be closely related to sales volume.
• B) ROI will be directly related to sales volume.
• C) Cash flow is equal to investment.
• D) Investment + Cash flow = Profitability

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Definitions:

Cost-Benefit Analysis

A method of evaluating the relative advantages and disadvantages of a project or decision by quantifying its costs and benefits.

Labour Laws

The collection of laws and regulations governing employment, work conditions, and workers' rights.

Level of Expertise

The degree of knowledge or skill in a particular area, which varies among individuals and affects their ability to perform tasks or solve problems.

Cost Overruns

Expenses exceeding the initial budget in a project, often resulting in financial challenges or the need for additional funding.