YEAR 2019

Total Corporat Market Our Relative Market

Products market e Revenue share of market market growth
size (in in (%) largest share in share rate in
millions) competitor (%) (%)
in (%)
Product 1 65m 10.77% 37% 3.85% 0.10 20%

Product 2 149 -2.01 26 53.69 2.065 3.75

Product 3 60 16.67 12 13.33 1.11 37.5

Product 4 61 0 29 3.28 0.11 0

Product 5 125 10.4 20 4.40 0.22 9.09

M
High
A
Question Stars
R Marks
K Product 3
Product 1,5
E
T

G
R
O
W Dogs Cash Cows
T Low Product 4 Product 2
H

Low High

RELATIVE MARKET SHARE

Product 1: In 2019, our relative market share is 0.10. It is less than one; therefore it is a low
market share and a clear superiority of the other company over us. The growth rate was 0%,
which means there was an increase in the product’s growth rate compared to 2018 by 20%. Thus
product 1 falls in “question mark” cell.

Corporate portfolio: the strategy we use is to Build it further. We should invest money in
this product so that it can. We can make betterment in it by increasing our product quality, make
innovations in it and do a better marketing of our product so that it can move towards Stars.

Product 2: In 2019, our relative market share is 2.065. It is more than one; therefore it has a
high market share and is a market leader. The growth rate increased from -1.30 to 3.75 in the
current year and it seems to decrease in the foreseeable future. Thus product 2 falls in “cash
cows” cell.

Corporate portfolio: As cash cows are quite stable due to their high market share so they
don’t need very huge capital expenditure, so cash cows can be used to finance the stars. The
strategy we use is Hold. We maintain the business at its current position and maintain its
earning because there is no chance of market growth and no chance of further improvement. So
we don’t leave the business as it is and we hold it.

Products 3: In 2019, our relative market share is 1.11. It is more than one; therefore it has a
high market share and is a market leader. The growth rate is high and needs further investments.
Thus product 3 falls in “Stars” cell.

Corporate portfolio: This section needs further investment. As cash cows don’t need further
investment, so the profit we earn from cash cows would be invested in stars to Build it further.

Product 4: In 2019, our relative market share is 0.11 which is less than one. Therefore is has a
less market share and a clear superiority of the other company over us. The growth rate is zero
since the business started. Thus product 4 falls in “Dogs” cell.

Corporate portfolio: The strategy we use is Divest. try to divest the business as soon as
possible to not to face further losses.
Product 5: In 2019, our relative market share is 0.22. It is less than one; therefore it is a low
market share and a clear superiority of the other company over us. The market growth rate
decline as compared to the past year and seems to fall in the foreseeable future. Thus product 5
falls in “question mark” cell.

Corporate portfolio: The strategy we use is Harvest. Because to maintain market share we
do not invest in this business and try to make as much profit as we can from it because it doesn’t
seem business would run further.