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Competitive Position:
The 5 categories for competitive position are as follows:
Dominant: This is rare and typically short-lived. Little, if any,
competition.
MANAGEMENT Strong: Market share is strong and stable, regardless of competitors.
Favorable: Business line enjoys competitive advantages in certain
segments of market. However there are many rivals.
Tenable: Position in overall market is small. Competitors are getting
stronger
Weak: Continuous loss of market share. Business line is too small to
maintain profitability.

Use:
ADL MATRIX ADL Matrix is a great tool for uncovering high level strategies that may
be successful.

The ADL Matrix from Arthur D. Little is a ADL Matrix


Industry Maturity:
Portfolio Management technique that is
based on the Product Life Cycle (PLC). There are 4 categories of industry maturity: INDUSTRY LIFE CYCLE STAGE
The ADL approach uses the dimensions
ADL Matrix

Embryonic: Introduction stage characterized by rapid market Embryonic Growth Mature Aging
of environment assessment and business growth and very little competition All out push for Hold position Hold position.
Dominant share Hold position.
Grow with industry.
- strength assessment ie. Competitive Hold position. Hold share.

Competitive Position
Growth: Market continues to strengthen and sales increase Attempt to improve Attempt to improve
Position and Industry Maturity. Strong position. All out push position. Push
Hold position.
Grow with industry.
Hold position.
or harvest.
for share. for share.
Mature: Market is stable, there's a well established customer

ADL Matrix

ADL Matrix
Selective or all out Find niche and
Favorable push for share. Attempt to improve Harvest, or phased
The combination between the dimensions base, and a lot of competition Selectively attempt position. attempt
to protect it. out withdrawal
to improve position.
yields 5 (competitive positions) by 4 Aging: Demand decreases and companies start abandoning Selective push Find niche Find niche and Phased out
Tenable for position. and protect it. hang on. withdrawal.
(life cycle stages) matrix. The positioning the market
Tumaround or Tumaround,
in the matrix identifies a general strategy. Weak Up or out. abandon. orphaned out
withdrawal.
Abandon.

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