The analysis requires that both measures be calculated for each SBU. Market Growth Rate = Industry sales this year - Industry Sales last year. Relative Market Share = SBU Sales this year leading competitors sales this year. In other words, it is a comparative analysis of business potential and the evaluation of environment.Īccording to this matrix, business could be classified as high or low according to their industry growth rate and relative market share. It is a two dimensional analysis on management of SBU�s (Strategic Business Units). It provides a graphic representation for an organization to examine different businesses in it�s portfolio on the basis of their related market share and industry growth rates. It is the most renowned corporate portfolio analysis tool.
Boston Consulting Group (BCG) Matrix is a four celled matrix (a 2 * 2 matrix) developed by BCG, USA.
