ACCA Applied Knowledge · Business and Technology · Competitive factors
In the Boston Consulting Group matrix, a product with a low relative market share in a high-growth market is classified as a:
It is a question mark, sometimes called a problem child. The product has low relative market share but operates in a high-growth market, so it needs heavy investment to build share, and management must decide whether to invest or divest.
- AQuestion markCorrect
- BStar
- CCash cow
- DDog
Explanation
Low share in a high-growth market is a question mark (problem child). Stars have high share in high growth; cash cows have high share in low growth; dogs have low share in low growth. A dog is the main distractor, as it also has low share but sits in a low-growth market.
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