BCG GROWTH SHARE MATRIX
For Portfolio Analysis (SBUs)
HOW TO USE THE TOOL:
•
Step 1: Choose the SBU/brand/products
•
Step 2: Define Market
automotive*broad or luxury car*narrow
•
Step 3: Calculate Relative Market Share
RMS = Your firms mkt share or revenue
Top competitor mkt share or revenue
•
Step 4: Find Mkt Growth Rate
Look at industry reports; or calculate.
Set appropriate mid-point on chart.
•
Step 5: Draw circles on matrix
Plot and draw circles on chart.
Size of cricle equals % corporate revenue.
Brand
Revenue
% Corporate
Revenue
Largest Rival
Mkt Share
Your Brands
Mkt Share
Relative Mkt
Share
Market Growth
Rate
Brand 1
$500,000
54%
25%
25%
1
3%
Brand 2
$350.000
38%
30%
5%
0.17
12%
Brand 3
$50,000
6%
45%
30%
0.67
13%
Brand 4
$20,000
2%
10%
1%
0.1
15%