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Which of the following represented a business unit that shows rapid growth but poor profit margins?

a. Star.
b. Cash cow.
c. Problem child.
d. Loss leader.
e. Dog.

User Yivo
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1 Answer

4 votes

Answer:

Option B

Step-by-step explanation:

In simple words, A cash cow refers to one of the 4 dimensions (quadrants) throughout the growth-share vector, BCG matrix describing a business, line of products, or enterprise with significant market share inside a mature field.

A cash cow is described as a reference to a company, commodity, or asset that will generate continuous investment returns throughout its lifetime until it is purchased and paying off.

The term refers to a company that is equally low-maintenance too. Modern days cash cows need minimal capital investment to have consistently sufficient cash flow that can be distributed within a company to other departments. They 're lower - risk projects, potentially high profits.

User Rishav
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