The BCG (Boston Consulting Group) Matrix Places Strategic Business Units

question 128

Multiple Choice

The BCG (Boston Consulting Group) matrix places strategic business units into which of the following four-quadrants:

• A) Strengths, Weaknesses, Opportunities, and Threats
• B) Oligopoly, Monopoly, Monopolistic Competition, and Perfect Competition
• C) Micro, Small, Medium, and Large
• D) North, South, East, and West
• E) Stars, Cash Cows, Question Marks, and Dogs

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Definitions:

Cash Purchase Price

The amount of money required to buy a good, service, or asset without financing or credit.

Effective Interest Rate

The actual return on an investment or the real cost of borrowing, accounting for the effect of compounding interest.

Compounded Monthly

The calculation of interest on the principal amount where the interest accrued is added to the principal every month, allowing for the accumulation of interest on interest.

Capital Cost

The total acquisition cost of an asset, including the purchase price and costs associated with its acquisition and preparation for use.