Question

The boston consulting group's matrix is based on the

a. idea that a firm's market share and market attractiveness are the important factors for a marketing strategy.
b. assumption that a firm's actions have a profitable impact on marketing strategy.
c. business position and market attractiveness of the firm.
d. philosophy that a product's market growth rate and its market share are important determinants of its marketing strategy.
e. idea that a product's market growth rate and market attractiveness determine the marketing strategy.

Answer 1

The Boston Consulting Group's matrix is based on the idea that a product's market growth rate and market attractiveness determine the marketing strategy.

The Boston Consulting Group’s main principle is that a market share experience would be the key to having high profits with reduction in cost. This is certainly true as experience in a certain field does bring knowledge and one of this knowledge is the know-how in reducing costs and increasing profit.