Knowing these three estimated values, it is possible to assign the products to the correct categories in the BCG matrix and thus build the appropriate marketing strategy.
How should it be done? What code phone number philippines categories are involved?
Strategic areas in the BCG matrix
Stars
They are market leaders with high growth rates. They do not usually generate large profits, as they require a lot of money to maintain high growth rates and defend themselves against attacks from competitors. However, it is profitable to invest in them due to favorable market trends and the great competitiveness and potential of the product. When growth rates begin to decline, stars become cash cows. The marketing strategy can be aggressive , relying on increasing their market share, or defensive, with the main objective of maintaining their current position in the market.
Dairy cows
In the BCG matrix, the objects with a large relative share of a slow-growing market. These are established and successful products that provide the company with a considerable share of profits. Unlike the stars, they do not require such a large investment to maintain market share. In fact, one could argue that they are the cash cows that provide the cash that the company can use to pay fees or to support other units that need to invest. Only if the cash cow starts to lose its relative market share will the company be forced to increase investment to maintain its leadership position. Maintaining market share should be the producer's primary objective. It is a defensive strategy .