First 296 words of the document:
The Boston Matrix
The Boston Matrix is a framework for a company to look at their product portfolio. They should be
aiming to have a range of product types from "stars" to "cash cows", but hopefully no "dogs" and
few "problem children".
Market share can be defined as the percentage of all sales within a market that is held by one brand/
product or company.
An increase in the demand for a particular product or service over time
The Boston Matrix has market growth and market share on the two sides. A new product that has a
high market share in a rapidly growing market is a "star" and should hopefully turn in to a "cash cow"
in the future when the market growth slows down. A product that has a low market share in a rapidly
growing market is known as a "problem child" for obvious reasons and the firm will have to look at
various strategies to avoid it becoming a "dog" in the future.
Any product that has a low or declining share of its market.
A product that has a low market share within an expanding market. A term used to categorise one of
the four types of goods shown by the Boston Matrix.
Products that produce a large amount of revenue because they have a large share of an existing
market which is only expanding slowly.
A product that has a high or rising market share within an expanding market.