According to the BCG Matrix, Stars Require Considerable Inflows of Cash

question 11

True/False

According to the BCG matrix, stars require considerable inflows of cash to finance further growth.

---

Definitions:

Current Account Deficit

A situation where a country's total imports of goods, services, and transfers exceed its total exports, indicating it is spending more on foreign trade than it is earning.

Exchange Rate

The value of one currency for the purpose of conversion to another, determining how much one currency is worth in terms of another.

Foreign Exchange Market

A global marketplace for trading national currencies against one another.