Bcg Matrix Analysis of Tata Steel Ltd

BCG matrix Analysis of TATA STEEL LTD: STAR: The Ferro alloys and minerals division in TATA in the TATA STEEL LTD would fall into the category of stars of the BCG Matrix. The production in this division is 1.302 millions tones and the overall sales has exceeded to 1.508 millions tones. Infrastructural investment in Asia resulted in improvement in the demand for stainless steel. Chrome Alloys exports (including charge chrome from TATA Steel KZN PTE LTD) touched an all time high and the division recorded its highest ever global market share of 6% in FY10. The first oversees hub of TSL was established in South Korea. In India our Ferro Alloys and minerals division is the market leader in Ferro Chrome Business with a market share of around 27%. Manganese Alloys sales recorded an all time high in the financial year 2009-2010 and TATA Steel attained the status of being the largest producer of Manganese Alloys in India. CASH COW: The steel division of the company falls into the category of cash cow of the BCG Matrix. The production is 6.439 million tones but the over all sales are 6.170 million tones. Despite sales being lower than the production in the FY 10. The over all sales grew by 18% over last year (5.232 million tones in the FY09). QUESTION MARK: The bearing division and the tubes division fall into the category of question mark in the BCG Matrix. They are growing rapidly but have low market product share. They have the potential to gain market share and become a star. It can also become cash cow when the market growth slows. DOG: None of the divisions of the TATA Steel can be classified into dogs. All of them have good market share and good market growth. BCG Matrix Of NESTLE: STARS: The stars are the high relative market share and high market growth. Nestle beverages i.e. are somewhat the stars in their business, because with the high quality and new designs which comes every now and then makes them more popular among the customers, because customer with upper class wants the quality and nestle offers the best quality food items.

CASH COWS The cash cows are their baby food items i.e. nestle cerelace and other baby food products. Company has to take measures to make these products as stars.

DOGS The pharmaceutical products are nestle Dog, because it has low-share business with low growth market especially when we talk about Pakistani market. The company has to think on what it can do by improving the low share and growth market. The pharmaceutical products are nestle Dog, because it has low-share business with low growth market especially when we talk about Pakistani market. The company has to think on what it can do by improving the low share and growth market.

QUESTION MARKS The question marks are the breakfast cereals. They have high market growth but low market share. The company has to decide about which question mark they should try to build into the stars and which one of these should be phased out.