Asked by Emily Apodaca on Jul 21, 2024
Verified
The preferred strategy for Stars is growth because they
A) produce large profits and a strong cash flow, but have little upside potential.
B) may not generate much profit at the moment, but have upside potential.
C) produce large profits and a strong cash flow for only a short span of time and must be nurtured.
D) are not only high performers in the present, but they offer similar potential for the future.
E) produce little if any profit, and must be supported so that they perform better.
Stars
High-growth, high-market-share products or business units in the Boston Consulting Group matrix, indicating they have potential to generate significant revenue.
Growth
An increase in some quantity over time, such as economic growth which refers to an increase in the market value of goods and services produced by an economy.
High Performers
Individuals who consistently exceed standard performance expectations in their roles, contributing significantly to organizational goals.
- Recognize distinct approaches relevant to each segment (Dogs, Question Marks, Stars, Cash Cows) of the BCG Matrix.
Verified Answer
JC
Jennie CharleyJul 23, 2024
Final Answer :
D
Explanation :
Stars are high performers in the present and also have a similar potential for the future. Therefore, the preferred strategy for them is growth, as it would help to support and sustain their performance in the future.
Learning Objectives
- Recognize distinct approaches relevant to each segment (Dogs, Question Marks, Stars, Cash Cows) of the BCG Matrix.