Bcg Matrix Nestle

BCG Matrix (Boston consulting Group ): In the late 1960s the Boston Consulting Group, a leading management consulting company, designed a four-cell matrix known as BCG Growth/Share Matrix. This tool was developed to aid companies in the measurement of all their company businesses according to relative market share and market growth. The BCG Matrix made a significant contribution to strategic management and continues to be an important strategic tool used by companies today. The matrix provides a composite picture of the strategic position of each separate business within a company so that the management can determine the strengths and the needs of all sectors of the firm. The development of the matrix requires the assessment of a business portfolio, which include an organization’s autonomous divisions (activities, or profit centers).

BCG MATRIX of Nestle: According to Nestle, the relative market share and market growth rates of different products are given below:Name Ceralac Nestle Milk Kit Kat Maggi Noddles

Relative Market Share 31.2% 21% 19% 18.76%

Market Growth Rate 45% 39% 34% 64%

Nestle Dahi

3%

12%

BCG MATRIX Figure

Arham ali

???

Star 

Ceralec

    h    t    w    o    r    G    t    e Cash Cow     k    r  Maggi Noddles    a    M

 

Nestle Milk Kit Kat

Dog 

Nestle Dahi

Relative Market Share

Conclusions:

Ceralec: Ceralec is one of the leading baby food products. It has witnesses quite a long hold on market share and it’s a major contributor for Nestle.

Nestle Milk and Kit Kat: Relative market share of Nestle milk and Kit Kat is low as compared with its growth that’s why they are lying under head Question mark.

Maggi Noddles: Growth rate of Maggi Noodles is low as compared with its Relative market share that’s why they are lying under head Question mark.

Nestle Dahi: It’s both relative market share and growth rate are low as compared with other products that’s

why it is lying under head Dog.

Arham ali

Arham ali