Question

• 54. In 2007, Kodak's ink-jet printer could be considered a question mark because the market dramatically changed as consumers shifted from single-purpose to multi-function machines designed to print photos, make copies, scan images, and send faxes. Today Kodak now offers only multi-function ones. If Kodak can double or triple unit sales soon, this SBU star could become a __________, if online printing and sharing steal market share, the SBU could become a __________.

Answer 1

In 2007, Kodak's ink-jet printer was a question mark in terms of market growth but had low market share. Depending on its ability to increase sales, it could become a cash cow or, adversely, a dog if market conditions worsen due to online printing and sharing services.

Step-by-step explanation:

In 2007, Kodak's ink-jet printer business was considered a question mark in the Boston Consulting Group (BCG) matrix, which means it was part of a high-growth industry but had a low market share. This was a time when the market shifted towards multi-function machines capable of not only printing photos but also making copies, scanning images, and sending faxes. Kodak has since adjusted to these changes by offering only multi-function printers.

If Kodak can significantly increase its sales soon, this Strategic Business Unit (SBU) could become a cash cow, indicating a low-growth industry where it holds a high market share, securing a steady stream of revenue with minimal investment. Conversely, if online printing and sharing drastically reduce the demand for home-based printing solutions, causing a loss in market share, this SBU could become a dog, which indicates a low market share in a low-growth industry, often leading to divestiture or discontinuation of the product.