Their net contribution to the kitty of the organization is not very substantive. They generate as well as consume revenue.
They have the potential to be the cash cows only if they can consolidate their competitive position. Stars are in the high growth rate and, therefore, highly competitive markets. It has attractive long-term profit opportunities. Eventually, their growth will slow down, and they will turn into cash cows.Īn SBU with high market growth and a high relative market share is considered as a star business-unit. They often need heavy investments to finance their rapid growth. Stars are high-growth, high-share businesses or products. If you cannot find any official press releases on your company, check their social media channels and see what they are "saying" about themselves.Stars: High Growth, High Share Businesses Diversification: creating new products for new customers, releases would indicate new lines of business, acquisitions, etc.Product Development: creating new products to sell to current customers, releases would indicate new lines, line or brand extensions.Market Development: taking current products to new markets, releases would indicate launching in a new country or expanding.Market Penetration: selling more of current stuff to current customers, releases would announce loyalty programs, value add benefits, etc.Here are some detailed examples (by Prof.
"Frequency Analysis", as described in your syllabus, simply means "categorizing these press releases as examples of Market Development, Product Development, Market Penetration or Diversification." This is based on the growth strategy tool The Ansoff Matrix. Or google Press release to get to the correct section on the company website.
Company press releases are available on the company website under Media, News, or Press (particular terms might differ).
0 kommentar(er)
