Boston Matrix: SWOT Analysis Of The Most Popular Management Strategies

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customers. SWOT analysis helps the organisation to recognize the threat and emerge or develop creative strategies.

Boston matrix has been developed on 1970s and most popular management technique use to analyse growth rate for the market and market attractiveness. High market growth is more attractive, high market share and competition is zero. High market share is assumed to benefit to benefit from cost advantage such as production is obtain at lower cost like latest design and technology. Cost is lowered as benefit from economies of scale in term of production and marketing. The advantage of high market share is recognising by bargaining power with buyers and leading higher margins.

Cash cows building high strategy benefit from high market …show more content…

Introduction stage product life cycle introduce new demand in the new market entry, product is developed by new technology, at this this stage the product is unknown to society as a whole, use aggressive market campaigns to promote the products and distribution of service toward clients.

At growth stage, as volume of sales is growing rapidly from new customers or existing customers, the business will experience from a sustainable profit from investment, the business will use mass advertising and lower prices of services being offered to encourage peoples to use the services.AS volume of sales is rising rapidly, more competitors and new challenges from marketers.

At maturity stage, profit began to decline, as products and promotional has already meet the needs or desired of customers, companies will maintain to increase sales and market share at the expense of competitors so as to extend the life of product. The sales will stagnate, cost are minimised, maximised of profit level and fierce competition.

At decline stage customers preference has been changes, product has been obsolete products, no longer interest customers and competitors or business rivals are using more efficient ways to attract client toward their

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