Page 28 - Microsoft Word - 00 P1 IW Prelims.docx

Chapter 1

BCG evaluation

Advantages Disadvantages

 Ensures a balanced portfolio  Simplistic; only looks at market
growth and relative market
 Used to manage divisions in share
different ways
 Determining what ‘high’ and
 Metrics set in line with analysis ‘low’ mean is difficult

 Does not consider links
between parts of the
organisation

 Designed as a tool for product
portfolio analysis, not
performance management

Illustrations and further practice

Now try TYU question 12 from Chapter 1 of the Study Text

18