Question

General Motors determined that it would close down divisions that were in low-growth markets that had relatively low market shares. According to the BCG Product Portfolio Analysis, GM was identifying divisions in the _____ category for closure.

a. Question Marks
b. Dogs
c. Stars
d. Clunkers
e. Cash Cows

Answer 1

b. Dogs

Step-by-step explanation:

The BCG matrix is used to analyse the performance of an organization's product in terms of the market growth and market share. Going by the BCG matrix, there are 4 types of products based on the measurement criteria mentioned earlier. These are Star, Cash cow, Question mark and Dogs.

Stars are high performers with high market growth and high market share. Cash cows have high market share but low market growth. Question marks are products with high market growth but low market share. Dogs are the poor performing products with low market share and low growth rate. Hence the division as identified by General Motors for closure is in the division of Dogs.

Option b