Question
Assume you are conducting a portfolio analysis on your company, which currently has 4 SBUs: (1) cellphones, (2) tablets, (3) laptops and (4) DVD players.
Assume you are conducting a portfolio analysis on your company, which currently has 4 SBUs: (1) cellphones, (2) tablets, (3) laptops and (4) DVD players. Assume that both the cellphone and tablet market is growing and that the market for laptops and DVD players is saturated.
The market share your company has for each product is as follows: Cellphone: 10% market share, Market Growing Tablet: 75% market share, Market Growing Laptop: 80% market share, Market Saturated DVD players: 8% market share, Market Saturated
a.) Classify each SBU according to the BCG matrix. (If you want, you may draw a diagram).
b.) Based on your classification, for which SBUs do you recommend investment? Where should this investment come from? Explain your answers.
c.) Give 2 suggestions on how the company could grow (increase sales) in the future.
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